HOSPITALITY REVENUE MANAGEMENT ACTUAL FINAL EXAM |
QUESTIONS AND ANSWERS | VERIFIED AND WELL DETAILED
ANSWERS | LATEST EXAM UPTODATE
The primary purpose of accounting is to report on an organization's? - CORRECT
ANSWER - money and valuable property.
When does accounting for a business begin? - CORRECT ANSWER - Before the
business opens
The best definition of an accountant is a person who - CORRECT ANSWER - is
skilled in the recording and reporting of financial transactions.
Which governmental entity establishes standards, and then awards qualified
individuals the Certified Public Accountant (CPA) designation? - CORRECT
ANSWER - State
Which branch of accounting concerns itself with the independent verification of
financial records? - CORRECT ANSWER - Auditing
Items owned by a business are referred to as - CORRECT ANSWER - assets
Which is the primary concern of financial accounting? - CORRECT ANSWER -
Recording financial transactions
,Which is a question that could NOT be best answered strictly on the basis of
accounting data? - CORRECT ANSWER - Which current bartender should we
promote to Head Bartender?
Assets = Liabilities + Owners? Equity, is referred to as the - CORRECT
ANSWER - basic accounting equation.
When properly used, accounting helps hospitality managers - CORRECT
ANSWER - make better decisions.
A restaurant owner records his purchases of food and beverage as an expense when
they are purchased, and who does not record end of accounting period inventory
values is violating the - CORRECT ANSWER - Matching Principle.
Which is the accounting summary that presents the financial condition, or financial
health, of a business? - CORRECT ANSWER - Balance Sheet
In the hospitality industry, a point of sale (POS) system is used to record -
CORRECT ANSWER - guest sales, payments and other information.
Which portion of a hospitality business?s transaction and analysis process would
most often by undertaken by the business?s owner or general manager? -
CORRECT ANSWER - Financial analysis
Which is the basic accounting equation that is applicable to every business? -
CORRECT ANSWER - Assets = Liabilities + Owners' Equity
,Which is the foundation of accurate financial reporting and analysis? - CORRECT
ANSWER - Bookkeeping
In the hospitality industry, a property management system (PMS) is used to record
- CORRECT ANSWER - customer transactions that take place at a hotel's front
desk.
Which would be the first action to occur in a hospitality business?s transaction
recording and analysis process? - CORRECT ANSWER - Guest purchase
What is the primary device that accountants use to record increases or decreases in
the assets, liabilities or owners? equity portion of a business?s basic accounting
equation? - CORRECT ANSWER - Account
A restaurant owner who takes home steaks for grilling at a private party she is
hosting for her friends, without properly reflecting this in the restaurant's
accounting records, is violating the - CORRECT ANSWER - Distinct Business
Entity Principle.
A chef invests $40,000 of her own money, and $160,000 borrowed for a bank, to
open her new restaurant. What percentage of this chef's new operation was equity
funded? - CORRECT ANSWER - 6.7%
Which is the formula a manager would use to calculate a return on investment
(ROI)? - CORRECT ANSWER - Money earned on funds invested / Funds
invested = ROI
, One year ago, an individual invested $75,000 in a business and today that
investment is worth $100,000. What was this investor?s ROI for the year? -
CORRECT ANSWER - 33.3%
Which is the first monetary value listed on a hospitality business?s income
statement? - CORRECT ANSWER - Revenue
In a hospitality business, a cost center is best defined as a - CORRECT ANSWER
- unit or department that generates costs, but no revenues or profits.
Which is an example of a restaurant creditor? - CORRECT ANSWER - A milk
supplier who bills the restaurant once per month for the milk the supplier has
delivered
Which is an example of a non-controllable cost? - CORRECT ANSWER -
Laundry equipment depreciation
Which group will have the greatest interest in the success of a hospitality business?
- CORRECT ANSWER - Owners
Which term describes the money personally invested in a business by the
business's owners? - CORRECT ANSWER - Equity
Which is NOT a monetary value that would be listed on a business?s balance
sheet? - CORRECT ANSWER - Revenue
Which statement about a business?s accounts receivable (AR) is true? -
CORRECT ANSWER - The amount of AR is identified on the balance sheet
QUESTIONS AND ANSWERS | VERIFIED AND WELL DETAILED
ANSWERS | LATEST EXAM UPTODATE
The primary purpose of accounting is to report on an organization's? - CORRECT
ANSWER - money and valuable property.
When does accounting for a business begin? - CORRECT ANSWER - Before the
business opens
The best definition of an accountant is a person who - CORRECT ANSWER - is
skilled in the recording and reporting of financial transactions.
Which governmental entity establishes standards, and then awards qualified
individuals the Certified Public Accountant (CPA) designation? - CORRECT
ANSWER - State
Which branch of accounting concerns itself with the independent verification of
financial records? - CORRECT ANSWER - Auditing
Items owned by a business are referred to as - CORRECT ANSWER - assets
Which is the primary concern of financial accounting? - CORRECT ANSWER -
Recording financial transactions
,Which is a question that could NOT be best answered strictly on the basis of
accounting data? - CORRECT ANSWER - Which current bartender should we
promote to Head Bartender?
Assets = Liabilities + Owners? Equity, is referred to as the - CORRECT
ANSWER - basic accounting equation.
When properly used, accounting helps hospitality managers - CORRECT
ANSWER - make better decisions.
A restaurant owner records his purchases of food and beverage as an expense when
they are purchased, and who does not record end of accounting period inventory
values is violating the - CORRECT ANSWER - Matching Principle.
Which is the accounting summary that presents the financial condition, or financial
health, of a business? - CORRECT ANSWER - Balance Sheet
In the hospitality industry, a point of sale (POS) system is used to record -
CORRECT ANSWER - guest sales, payments and other information.
Which portion of a hospitality business?s transaction and analysis process would
most often by undertaken by the business?s owner or general manager? -
CORRECT ANSWER - Financial analysis
Which is the basic accounting equation that is applicable to every business? -
CORRECT ANSWER - Assets = Liabilities + Owners' Equity
,Which is the foundation of accurate financial reporting and analysis? - CORRECT
ANSWER - Bookkeeping
In the hospitality industry, a property management system (PMS) is used to record
- CORRECT ANSWER - customer transactions that take place at a hotel's front
desk.
Which would be the first action to occur in a hospitality business?s transaction
recording and analysis process? - CORRECT ANSWER - Guest purchase
What is the primary device that accountants use to record increases or decreases in
the assets, liabilities or owners? equity portion of a business?s basic accounting
equation? - CORRECT ANSWER - Account
A restaurant owner who takes home steaks for grilling at a private party she is
hosting for her friends, without properly reflecting this in the restaurant's
accounting records, is violating the - CORRECT ANSWER - Distinct Business
Entity Principle.
A chef invests $40,000 of her own money, and $160,000 borrowed for a bank, to
open her new restaurant. What percentage of this chef's new operation was equity
funded? - CORRECT ANSWER - 6.7%
Which is the formula a manager would use to calculate a return on investment
(ROI)? - CORRECT ANSWER - Money earned on funds invested / Funds
invested = ROI
, One year ago, an individual invested $75,000 in a business and today that
investment is worth $100,000. What was this investor?s ROI for the year? -
CORRECT ANSWER - 33.3%
Which is the first monetary value listed on a hospitality business?s income
statement? - CORRECT ANSWER - Revenue
In a hospitality business, a cost center is best defined as a - CORRECT ANSWER
- unit or department that generates costs, but no revenues or profits.
Which is an example of a restaurant creditor? - CORRECT ANSWER - A milk
supplier who bills the restaurant once per month for the milk the supplier has
delivered
Which is an example of a non-controllable cost? - CORRECT ANSWER -
Laundry equipment depreciation
Which group will have the greatest interest in the success of a hospitality business?
- CORRECT ANSWER - Owners
Which term describes the money personally invested in a business by the
business's owners? - CORRECT ANSWER - Equity
Which is NOT a monetary value that would be listed on a business?s balance
sheet? - CORRECT ANSWER - Revenue
Which statement about a business?s accounts receivable (AR) is true? -
CORRECT ANSWER - The amount of AR is identified on the balance sheet
