Question 1

What is the FIFO method? What are its advantages and disadvantages?

Accepted Answer

The FIFO method places an inventory valu

Question 2

Determine the total value of the inventory based on the last price method. Count Price Extensions
Beginning inventory 6 $5.65 $33.90
Purchases on 2/6 before inventory 6 $6.30 $37.80
Purchases on 2/13 before inventory 12 $6.10 $73.20
Purchases on 2/20 before inventory 6 $6.30 $37.80
Purchases on 2/27 before inventory 4 $5.80 $23.20
Ending inventory 12 units

Accepted Answer

A)  $69.60 
B)  $73.20 
C)  $71.90 
D)  $72.67 
A)  $69.60 
B)  $73.20 
C)  $71.90 
D)  $72.67

Question 3

Determine the total value of the inventory based on the FIFO method. Count Price Extensions
Beginning inventory 6 $5.65 $33.90
Purchases on 2/6 before inventory 6 $6.30 $37.80
Purchases on 2/13 before inventory 12 $6.10 $73.20
Purchases on 2/20 before inventory 6 $6.30 $37.80
Purchases on 2/27 before inventory 4 $5.80 $23.20
Ending inventory 12 units

Accepted Answer

A)  $69.60 
B)  $73.20 
C)  $71.90 
D)  $72.67 
A)  $69.60 
B)  $73.20 
C)  $71.90 
D)  $72.67

Question 4

Why is taking a physical inventory critical?

Accepted Answer

Without an accurate physical i

Question 5

Why is it important to include promotions and employee meals in calculating the cost of food sold?

Accepted Answer

In many operations, promotions and emplo

Question 6

Accrual accounting is an accounting system in which revenues are recognized when they are not earned and expenses are recognized when they are not incurred.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following methods typically generates the greatest credit for employee meals?

Accepted Answer

A)  monthly budget 
B)  sales credit 
C)  requisition method 
D)  all are equal 
A)  monthly budget 
B)  sales credit 
C)  requisition method 
D)  all are equal

Question 8

A perpetual inventory records all items purchased and requisitioned, and should match the physical inventory.

Accepted Answer

A) True 
 B)False

Question 9

How is an inventory turnover ratio calculated?

Accepted Answer

A)  average inventory/cost of sales 
B)  cost of sales/average inventory balance 
C)  revenue/average inventory balance 
D)  cost of sales/revenue 
A)  average inventory/cost of sales 
B)  cost of sales/average inventory balance 
C)  revenue/average inventory balance 
D)  cost of sales/revenue

Question 10

Food sales for the month total $90,000. What is the actual food cost of sales percentage for the month assuming these data? Beginning inventory $05,890
Net purchases $22,500
Transfers in $0,0870
Transfers out $0,0490
Ending inventory $05,010
Employee meals $0,0870
Promotional food cost $0,0440

Accepted Answer

A)  24.94% 
B)  26.4% 
C)  23.86% 
D)  25.43% 
A)  24.94% 
B)  26.4% 
C)  23.86% 
D)  25.43%

What is the FIFO method? What are its advantages and disadvantages?

Why is taking a physical inventory critical?

Why is it important to include promotions and employee meals in calculating the cost of food sold?

Accrual accounting is an accounting system in which revenues are recognized when they are not earned and expenses are recognized when they are not incurred.

Which of the following methods typically generates the greatest credit for employee meals?

A perpetual inventory records all items purchased and requisitioned, and should match the physical inventory.

How is an inventory turnover ratio calculated?

Food sales for the month total $90,000. What is the actual food cost of sales percentage for the month assuming these data? Beginning inventory $05,890 Net purchases $22,500 Transfers in $0,0870 Transfers out $0,0490 Ending inventory $05,010 Employee meals $0,0870 Promotional food cost $0,0440

Overview of the Industry and the Managers Role

Menu Development

Introduction to Purchasing

Purchase Specifications

Price and the Vendor

Purchasing Controls

Introduction to Beverages

Beverage Procedures, From Start to Finish

Beverage Controls and Service Procedures

Planning for Food Profit and Controls

Revenue and Cash Handling Control

Menu Analysis and Planning for Sales

Staff Planning and Labor Cost Control

Analyzing Cost-Volume-Profit Cvp Relationships and Marginal Contribution Break-Even MCB

Budgeting and Manager ROI

Filters

Exam 11: Monthly Physical Inventory and Monthly Food Cost Calculations

What is the FIFO method? What are its advantages and disadvantages?

Why is taking a physical inventory critical?

Why is it important to include promotions and employee meals in calculating the cost of food sold?

Accrual accounting is an accounting system in which revenues are recognized when they are not earned and expenses are recognized when they are not incurred.

Which of the following methods typically generates the greatest credit for employee meals?

A perpetual inventory records all items purchased and requisitioned, and should match the physical inventory.

How is an inventory turnover ratio calculated?

Food sales for the month total $90,000. What is the actual food cost of sales percentage for the month assuming these data? Beginning inventory $05,890 Net purchases $22,500 Transfers in $0,0870 Transfers out $0,0490 Ending inventory $05,010 Employee meals $0,0870 Promotional food cost $0,0440

Overview of the Industry and the Managers Role

Menu Development

Introduction to Purchasing

Purchase Specifications

Price and the Vendor

Purchasing Controls

Introduction to Beverages

Beverage Procedures, From Start to Finish

Beverage Controls and Service Procedures

Planning for Food Profit and Controls

Revenue and Cash Handling Control

Menu Analysis and Planning for Sales

Staff Planning and Labor Cost Control

Analyzing Cost-Volume-Profit Cvp Relationships and Marginal Contribution Break-Even MCB

Budgeting and Manager ROI

Filters