Noordhoff Uitgevers

My books |

Basic Management Accounting for the Hospitality Industry - Second edition 2016

Home | Multiple choice questions > Chapter 11

Loading Indicator

Test

Basic Management Accounting for the Hospitality Industry - Second edition 2016
Chapter 11

Score

Stoplicht

Date

Number of questions:

Correct:

False:

Unanswered:

[Aantal pogingen]

Total score

Maximum score

100

Required

60

Result

You passed the entry test. You can now take the final test (see end of page). Your score is below standard. You did not pass the entry test. Follow up on the study advice and take the entry test again (see end of page). You passed the final test. To start all over again, remove your test results under My tests. Your score is below standard. You did not pass the final test. Follow up on the study advice and take the final test again (see end of page).

Study advice

We recommend you to study the following theory:

Your results

[sterretje verplicht 1]*[sterretje verplicht 2]

[mailform_message_1]

*Name:
Student number:
*E-mailadres:
*E-mailadres docent:

After the breakeven point in number of rooms, room revenues generated during the particular period will:

	increase at a faster rate than the variable costs of the extra room sales
	be considered as pure profit
	cover the fixed costs of the extra room sales
	increase in proportion to the extra room sales

Correct answer Your answer

breakeven point

Which of the following does not belong amongst the common assumptions in cost-volume-profit analysis?

	revenues vary indirectly with fixed costs
	fixed costs do not change during the period under consideration
	mixed costs can be reasonably divided into their fixed and variable elements
	variable costs have a linear relationship with revenues during the period under consideration

Correct answer Your answer

assumptions of CVP analysis

The Munching Moose Motel expects to sell 10,666 room nights during a period with a per-room variable cost of € 27.00. If total fixed costs of the period are expected to be € 351,978.00, what would the ADR be at the breakeven point?

	€ 60.00
	€ 65.00
	€ 70.00
	€ 75.00

Correct answer Your answer

breakeven price

The Red Sands Hotel's breakeven point is achieved when 17,750 rooms are sold during a period. Its average daily rate (ADR) is € 80.00, and the per-room variable cost sold is € 32.00. The total fixed costs for the period equal

	€ 852,000.00
	€ 568,000.00
	€ 1,420,000.00
	€ 942,000.00

Correct answer Your answer

breakeven fixed costs

A motel has an average daily rate (ADR) of € 50.00. The fixed costs for each of the 2,200 rooms sold during a period were € 15.00. If it has a variable cost percentage of 20%, what is the contribution margin per room sold?

	€ 40.00
	€ 15.00
	€ 35.00
	€ 50.00

Correct answer Your answer

contribution margin

An assumption under CVP analysis is that

	the mix of sales remains constant during the period under consideration
	the revenues vary directly with the fixed costs during the period under consideration
	the economic conditions will be unstable during the period under consideration
	the total costs will not rise as revenues increase during the period under consideration

Correct answer Your answer

assumptions of CVP analysis

A hotel expects a certain level of profit at the end of the year. Based on the breakeven equation used to determine the number of rooms they need to sell, the expected profit will be

	added to the fixed costs
	deducted from the revenues
	added to the revenues
	deducted from the fixed costs

Correct answer Your answer

pre-tax analysis

The Kumba Lake Motel expects to make a pre-income tax profit of € 250,000.00. Its contribution margin ratio is 40%, and its fixed costs are € 750,000.00. How much revenue should the motel generate in order to satisfy its pre-income tax profit expectations?

	€ 2,500,000.00
	€ 1,875,000.00
	€ 1,250,000.00
	€ 3,125,000.00

Correct answer Your answer

contribution margin ratio

For September 2010, the Blue Bay Restaurant expects the following: an average food service cheque of € 20.00, with an average variable cost per meal sold of € 8.00. They also expect o sell 6,000 meals during the month. If the expected fixed costs for the month are € 45,000.00 what level of profit or loss are they going to make?

	€ 27,000.00 profit
	€ 27,000.00 loss
	€ 36,000.00 loss
	€ 36,000.00 profit

Correct answer Your answer

breakeven point.

In the graphical representation of the breakeven point, the breakeven point is at the

	intersection between the revenues and total costs lines
	intersection between the revenues and fixed costs lines
	intersection between the revenues and total variable costs lines
	intersection between the revenues and the x-axis

Correct answer Your answer

breakeven graph

A motel has an average daily rate (ADR) of € 60.00 with monthly fixed costs of € 67,500.00. How many rooms do they need to sell monthly in order to break even if they have a variable cost percentage of 25% of the ADR?

	1,500
	1,200
	2,100
	1,800

Correct answer Your answer

breakeven point

The Red Sands Hotel has both rooms and a restaurant. The rooms department has a variable cost percentage of 22% while producing 70% of the revenues. The restaurant has a variable cost percentage of 30%. By how much should only the restaurant sales increase, if the Red Sands Hotel wants to increase their net income by € 14,000.00?

	€ 20,000.00
	€ 9,800.00
	€ 19,600.00
	€ 15,000.00

Correct answer Your answer

breakeven point

If a hotel includes its tax rate into its breakeven calculations, the desired pre-tax operating income is calculated by

	dividing the post-income tax desired profit by (1- tax rate)
	multiplying the post-income tax desired profit by (1- tax rate)
	multiplying the pre-tax operating income by (1- tax rate)
	dividing the pre-tax operating income by (1- tax rate)

Correct answer Your answer

post-income tax analysis

The Roasted Fish Restaurant has 50 seats and operates only between Mondays and Fridays every week of the year. Its average food service cheque is € 25.50 and its average variable cost is € 11.25 per customer. Its monthly fixed cost is € 21,375.00. How many customers do they need to serve in order to break every monthly?

	1,500
	2,000
	3,000
	2,500

Correct answer Your answer

breakeven point

Determine the variable cost per room sold in the following situation: revenues = € 5,000,000.00; fixed costs = € 2,250,000.00; profit = € 750,000.00; and the ADR = € 80.00

	€ 32.00
	€ 36.00
	€ 38.00
	€ 34.00

Correct answer Your answer

breakeven variable costs

Search in online book

[Online_Boek]

[Ga_naar]

[Definitie]

[Wachten]....

Terms and conditions
Privacy statement
Disclaimer
Contact

© Noordhoff Uitgevers | 6.7.5