HM/APR 2008/HTH250
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UNIVERSITI TEKNOLOGI MARA
FINAL EXAMINATION
COURSE
:
FOOD AND BEVERAGE COST CONTROL
COURSE CODE
:
HTH250
EXAMINATION
:
APRIL 2008
TIME
:
3 HOURS
INSTRUCTIONS TO CANDIDATES
1.
This question paper consists of three (3) parts : PART A (20 Questions)
PART B (20 Questions)
PART C (7 Questions)
2.
Answer ALL questions from all three (3) parts :
i)
ii)
Hi)
Answer PART A in the True/False Answer Sheet
Answer PART B in the Objective Answer Sheet.
Answer PART C in the Answer Booklet. Start each answer on a new page.
3.
Do not bring any material into the examination room unless permission is given by the
invigilator.
4.
Please check to make sure that this examination pack consists of:
i)
ii)
iii)
iv)
v)
vi)
the Question Paper
an Answer Booklet - provided by the Faculty
a True/False Answer Sheet - provided by the Faculty
an Objective Answer Sheet - provided by the Faculty
Butcher Test Card - provided by the Faculty
Cooking Loss Test - provided by the Faculty
DO NOT TURN THIS PAGE UNTIL YOU ARE TOLD TO DO SO
This examination paper consists of 11 printed pages
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2
HM/APR 2008/HTH250
PART A
TRUE AND FALSE
Answer ALL questions.
Shade the letter T if the statement is True and 'F' if the statement is False on the
True/False Answer Sheet.
1.
Dating and pricing of stored foods is one of the food storage standards concerns.
2.
Stores refer to perishable food items that have relatively longer shelf life.
3.
Location of storage facilities helps to reduce pilferage.
4.
Fixed cost is affected by normal fluctuations in sales volume.
5.
Portion size is one example of common quality standard.
6.
Average inventory is the sum of opening and closing inventory divided by 3.
7.
The basic data for developing a restaurant sales history is recorded by the cashier.
8.
Void sheets are used to record the names of cooks who have prepared portions of
food which customers have sent back to the kitchen.
9.
Transfer from kitchen to bar would increase daily food cost.
10.
A standard recipe is one that has been established as the correct recipe to use each
time a given product is prepared.
11.
Training all employees to follow established standards and standard procedures is
the first step in the control process.
12.
Forecasts of total anticipated volume for a given day should take into account such
factors as weather and the condition of the economy in the surrounding community.
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3
HM/APR 2008/HTH250
13.
Popularity index is the ratio of the number of portions of a given item sold to the total
number of all items sold.
14.
Opening inventory for September is equal to closing inventory for October.
15.
Physical inventory is the actual number of units of goods in storage.
16.
Employee meals are subtracted from Cost of Food issued to determine Cost of Food
Consumed.
17.
The two basic components of a daily food cost are stores purchases and direct
issues.
18.
Historical costs can be documented and established through business records.
19.
Directly variable costs are normally controllable.
20.
Cost Control is a process by means of which managers attempt to reduce costs to
the absolute minimum.
(Total: 20 marks)
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4
HM/APR 2008/HTH250
PARTB
MULTIPLE CHOICE
Answer ALL questions.
Choose the most appropriate answer for each question. Shade your choice on the Objective
Answer Sheet.
1.
The standard cost of one standard portion of a given menu items should not change
unless
a)
b)
c)
d)
2.
If a business is to be profitable, costs must always be;
a)
b)
c)
d)
3.
1 .6
3 .0
0 .77
3 .8
Quantity standards are
a)
b)
c)
d)
5.
more than 100% of sales
less than 100% of sales
equal to sales
less than 20% of sales
If 150 customers are served in a two hour period in a restaurant with 50 seats,
seat turnover for the period would be
a)
b)
c)
d)
4.
a unit cost
a total cost
a non controllable cost
a controllable cost
measures of weight, count or volume.
rules for making comparisons and judgments.
used for making judgments about the degree of excellence of raw materials
and finished products.
procedures which is not compulsory.
The second step in the control process is
a)
b)
c)
d)
Taking corrective action
Training employees
Monitoring employees' performance
Interview employees
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6.
FIFA
FIFO
LIFO
NANO
requisitions for that day
the Receiving Cerks's Daily Report for that day
the Steward's Market Quotation List for that day
requistions for yesterday
Refrigerated foods should be stored
a)
b)
c)
d)
11.
Rate + Contribution Rate
Cost + Fixed Cost Profit
Rate X (Fixed Cost + Profit)
Rate / Fixed Cost
The cost of Directs for a given day may be obtained from
a)
b)
c)
d)
10.
Variable
Variable
Variable
Variable
The normal method for stock rotation in food service operations is
a)
b)
c)
d)
9.
servers
receiving clerk
cashier
commis
Sales equals to
a)
b)
c)
d)
8.
HM/APR 2008/HTH250
The basic data for developing a restaurant sales history is recorded by
a)
b)
c)
d)
7.
5
on solid shelves
on slatted shelves
both a) and b) are correct
on aluminum shelves
The standard cost of one standard portion of a given menu items should not
change unless
a)
b)
c)
d)
new chef is employed
menu prices are changed
market prices changed
cashier has resigned
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12.
13.
14.
a)
b)
$0.14
$0.84
c)
$0.07
d)
$0.10
Butcher tests in a nearby restaurant indicate that the cost of a usable ounce of sirloin
steak is $0.50. If standard portion size is 10 ounces, standard portion cost is
a)
b)
$5.00
$0.60
c)
d)
$500.00
$50.00
A recipe detail and cost card indicates the use of 4 oz of rice, which is
purchased at $1.28 per Ib. The standard cost of the standard quantity of rice in this
recipe is
$0.20
$0.50
$0.32
$0.09
Sales histories can be used to predict
a)
b)
c)
d)
16.
HM/APR 2008/HTH250
A case of eggs (40 dozen) costs $33.60. Two eggs make one standard portion. The
standard cost of one standard portion is
a)
b)
c)
d)
15.
6
portion sales for a given menu item
total covers for a given day
both a) and b) are correct.
Neither one is correct
The periodic order method is used mostly for
a)
b)
c)
d)
perishables
non perishables
variables
controllable
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17.
The receiving clerk needs to verify quantity, price and
delivered.
a)
b)
c)
d)
18.
20.
HM/APR 2008/HTH250
for each
item
quality
specifications
descriptions
invoice
When taking a physical inventory, it is good practice to
a)
b)
c)
d)
19.
7
list the
list the
list the
list the
items alphabetically
items in the same order in which they are maintained in stock
items from highest price to lowest price
items by series number
Given the following information, determine daily food cost: directs $120; stores
issued $300; transfers from kitchen to bar $20; transfers from bar to kitchen $10.
a.
b.
$410
$440
c.
$210
d.
$300
Direct purchases are added to food cost when they are
a)
b)
c)
d)
received
sold
inventoried
canceling the ordered item
(Total: 20 marks)
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8
HM/APR 2008/HTH250
PARTC
QUESTION 1
The following figures are taken from the financial records of La Queen Country Club.
Purchases
99,750
Promotion Expense
570
Closing inventory
43,350
Gratis to bar
75
Transfer from other units
1,200
Food to bar (directs)
420
Opening inventory
32,400
Transfer to other units
1,200
Cooking liquor
825
Grease sales
255
Steward sales
2,880
Employees' meals:
Executive (sales value): RM2,700 (average food cost: 35%)
Other staff (cost value): 1,200 breakfasts @ RM0.75
1,200 lunch @RM2.25
700 dinners @ RM2.55
Required:
i)
Determine the cost of food issue, cost of food consumed and cost of food sold for
the restaurant.
ii)
Calculate food cost percent, given the sales figures RM 197,175.
(8 marks)
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HM/APR 2008/HTH250
QUESTION 2
a)
Define each of the following terms:
a)
b)
c)
d)
e)
f)
control
standard procedures
reorder point
variable rate
contribution margin
breakeven point
(6 marks)
b)
List down the steps in control process
(4 marks)
QUESTION 3
In general, the standards established for storing should address five (5) principle concerns.
List any four (4) of the principles.
(4 marks)
QUESTION 4
Compute the popularity index for the following sales. Answer must be in the nearest one
decimal (example: 20.546% rounded to 20.5%).
Item
Portions sold
A
40
B
24
C
16
D
32
E
29
(3 marks)
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HM/APR 2008/HTH250
a)
Using the popularity indexes calculated in (a) above, predict the sales for each item if
total sales for all items are expected to be 200.
(3 marks)
b)
Sales forecasting is a principle element in cost control. Briefly explain the four (4)
steps involved in forecasting portion sales.
(4 marks)
QUESTIONS
a)
The Hulu Langat Cafe uses the perpetual order method. One of the items to be
ordered is canned corn. Determine the reorder point and reorder quantity, given the
following:
Normal usage is 4 cans per day
Delivery takes 4 days
Par stock is 22 cans
Cans come 12 to a case
(5 marks)
b)
A restaurant in Teluk Intan decided to use periodic order method for ordering
purposes. The frequency of ordering is once a month. Using the following
information, determine the suitable quantity of green peas to be ordered.
Normal usage is one case of 8 cans per week
Quantity on hand is 20 cans
Desired ending inventory is 8 cans
(3 marks)
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HM/APR 2008/HTH250
11
QUESTION 6
Encik Ali, the owner of Cafe Kasturi estimates that the fixed costs for the coming year will be
RM350.000. Based on his investment in the business, he wants a profit of RM120,000 for
the year. Experience has shown that the average check is RM15.00.
a)
If total variable cost is RM730,000, what level of sales will be required to earn the
target restaurant profit?
Given total variable cost and total sales figures calculated above, what variable rate
is the owner projecting?
Given the variable rate above determine the contribution rate.
Given the contribution rate above, determine the average contribution margin based
on a RM15.00 average sale.
At what level of dollar sales will the restaurant break even?
(10 marks)
b)
c)
d)
e)
QUESTION 7
Complete the butcher's test card and cooking loss test card by using the information given,
for legs of veal to determine the standard cost of the 200gm portion, portion cost factor and
cost factor per kg.
(You are required to fill in the cards and show your workings for portion cost factor
and cost factor per kg. Please attach the two (2) test cards to your answer booklet).
Breakdown
Weight
Value per kg
Fat
6 kg
Kidneys
1 kg 500gm
RM6.10
Flanks
3 kg 500gm
RM4.60
Loss in cutting
1kg
Usable Meat
12 kg
Cooked weight
11 kg 500gm
Bones and trims
1 kg 500gm
(10 marks)
(Total: 60 Marks)
(Grand Total: 100 Marks)
END OF QUESTION PAPER
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