1. The top two (2) potential problems management should focus on, supported both quantitatively and qualitatively. What is the consequence of each of these problems if they are not solved?
2. Utilizing creativity and critical thinking, discuss three (3) potential causes for each of the problems stated above.
3. Utilizing creativity and critical thinking, discuss a potential solution for each of the above-mentioned causes. As in class, you can scaffold and layer each solution. Showcase an understanding of the various stakeholders that could be impacted either negatively or positively by your solution.
4. Were there other accounts that had unfavourable changes, but were not identified as the top two? Support numerically.
5. What did management do well? What accounts had favourable changes? Support numerically

Caf Income Statement in (thousAnds) Sales 2015 2014 Food Sales $ 2,203,342 $ 2,305,234 Wine Sales $ 330,501 $ 345,785 Liquor Sales $ 220,334 $ 230,523 Beer Sales $ 88,134 $ 92,209 Soft Beverage Sales $ 44,067 $ 23,052 Catering Sales $ 220,334 $ 23,052 Total Sales $ 3,106,712 $ 3,019,857 Cost of Goods Sold Food Cost of Sales $ 683,036 $ 714,623 Wine Cost of Sales $ 92,540 $ 96,820 Liquor Cost of Sales $ 30,847 $ 32,273 Beer Cost of Sales $ 48,474 $ 23,052 Soft Beverages Cost of Sales $ 4,407 $ 2,305 Catering Cost of Sales $ 66,100 $ 6,916 Total Cost of Sales $ 925,404 $ 875,989 Gross Profit $ 2,181,309 $ 2,143,868 Labour Cost $ 1,180,551 $ 1,056,950 Operating costs $ 155,336 $ 150,993 Rent Costs $ 155,336 $ 181,191 Waste Removal Costs $ 31,067 $ 30,199 Insurance Costs $ 62,134 $ 60,397 Utilities Costs $ 93,201$ 90,596 Manager Costs $ 310,671 $ 301,986 Total Indirect Costs $ 1,988,296 $ 1,872,311 Net Profit/Loss $ 193,013 $ 271,557 Caf Income Statement in (thousAnds) Sales 2015 2014 Food Sales $ 2,203,342 $ 2,305,234 Wine Sales $ 330,501 $ 345,785 Liquor Sales $ 220,334 $ 230,523 Beer Sales $ 88,134 $ 92,209 Soft Beverage Sales $ 44,067 $ 23,052 Catering Sales $ 220,334 $ 23,052 Total Sales $ 3,106,712 $ 3,019,857 Cost of Goods Sold Food Cost of Sales $ 683,036 $ 714,623 Wine Cost of Sales $ 92,540 $ 96,820 Liquor Cost of Sales $ 30,847 $ 32,273 Beer Cost of Sales $ 48,474 $ 23,052 Soft Beverages Cost of Sales $ 4,407 $ 2,305 Catering Cost of Sales $ 66,100 $ 6,916 Total Cost of Sales $ 925,404 $ 875,989 Gross Profit $ 2,181,309 $ 2,143,868 Labour Cost $ 1,180,551 $ 1,056,950 Operating costs $ 155,336 $ 150,993 Rent Costs $ 155,336 $ 181,191 Waste Removal Costs $ 31,067 $ 30,199 Insurance Costs $ 62,134 $ 60,397 Utilities Costs $ 93,201$ 90,596 Manager Costs $ 310,671 $ 301,986 Total Indirect Costs $ 1,988,296 $ 1,872,311 Net Profit/Loss $ 193,013 $ 271,557