HTM 2030 Lecture Notes - Lecture 1: Customer Satisfaction, Stir Frying, Standard Cost Accounting

• School: University of Guelph
• Department: Hospitality and Tourism Management
• Course: HTM 2030
• Professor: Iain Murray

Document Summary

A financial report showing the performance of a business over a particular period of time: aka earning statement, operating statement, and profit and loss statement. Revenue: amount of money earned over a period of time: sets the context within which decisions about expenses happen. Relationship: income and expenses: revenue has to be in balance with expenses. Cost of labour = when people are on paid duty. Cost of any item can be expressed in a variety of ways: $ values or quantities: weight, volume, total dollar value. Food, beverage, labour costs = prime costs usually 65% of total costs. Categories of costs: fixed and variable costs usually expressed as an absolute number, fixed: costs that are normally unaffected by changes in sales volume. They have little direct relationship to business volume b/c they do not change significantly when the number of sales increases or decreases.