Room Revenue Transient Rooms Sold Group Rooms Sold Total Rooms Sold Operating Expenses Linen Cleaning Supplies Guest Supplies Outside Services Laundry Concierge Expense Office Supplies Reservation Expenses Reservation Department Fixed Res Center Cost Variable Reser. Center Cost at $6 per transient res. Total Reservation Expense All other Expense 83,730 16,270 100,000 $150,000 $180,000 $251,200 Total Operating Expenses Total Operating Expense Percentage $31,100 $24,000 $104,800 $24,000 $80,500 $60,000 $19,200 $581,200 $120,000

Room Revenue Transient Rooms Sold Group Rooms Sold Total Rooms Sold Operating Expenses Linen Cleaning Supplies Guest Supplies Outside Services Laundry Concierge Expense Office Supplies Reservation Expenses Reservation Department Fixed Res Center Cost Variable Reser. Center Cost at $6 per transient res. Total Reservation Expense All other Expense 83,730 16,270 100,000 $150,000 $180,000 $251,200 Total Operating Expenses Total Operating Expense Percentage $31,100 $24,000 $104,800 $24,000 $80,500 $60,000 $19,200 $581,200 $120,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Cost of Quality Report A quality control activity analysis indicated the following four activity costs of a hotel: Inspecting cleanliness of rooms $97,200 Processing lost customer reservations 48,600 Rework incorrectly prepared room service meal 291,600 Employee training 48,600 Total $486,000 Sales are $2,700,000. Prepare a cost of quality report. Round percent of sales to one decimal place.
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Room Revenue Transient Rooms Sold Group Rooms Sold Total Rooms Sold Operating Expenses Linen Cleaning Supplies Guest Supplies Outside Services Laundry Concierge Expense Office Supplies Reservation Expenses Reservation $150,000 Fixed Res Center Cost $180,000 Variable Reser. Center Department Cost at $6 per transient res. Total Reservation Expense 83,730 16,270 100,000 All other Expense $251,200 Total Operating Expenses Total Operating Expense Percentage $31,100 $24,000 $104,800 $24,000 $80,500 $60,000 $19,200 $581,200 $120,000
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