Taylor’s is a popular restaurant that offers customers a large dining room and comfortable bar area. The restaurant is

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Taylor’s is a popular restaurant that offers customers a large
dining room and comfortable bar area. The restaurant is
located in a vibrant urban business district which seems to be
attracting a variety of entertainment and food
establishments. There is easy access to the restaurant
and many patrons enjoy it for after work drinks and dinner.
Taylor Henry, the owner and manager of the restaurant, has seen
the business increase steadily over the last two years and is
considering where and when she will have to expand the available
capacity for the business. The restaurant occupies its
own building and currently all the space is being used for dining,
the bar, and kitchen; however, additional space is available on the
property to expand the restaurant.
The bar is a full-service bar with experiences bar-tenders who
have worked with Taylor for many years. These friendly,
efficient bar-tenders know many of the regulars by
name. The kitchen is efficient and well-staffed and
prepares meals only for the dining patrons. Sammy Sousa,
Taylor’s chef, has been working for the restaurant for a number of
years and has develop a list of dinner options that can be prepared
in an average of 12 minutes per meal. The kitchen, when fully
staffed, is able to have up to 20 meals in preparation at a time,
or 100 meals per hours (60 min/12 min x 20 meals).
Currently, the restaurant opens at 6 pm and closes at 10 pm each
night (except Monday). On the average, 24 customers
enter the bar and 50 enter the dining room at the beginning of each
hour. Over the last 2 years, Taylor has been examining
the trends in both the restaurant business and her
business. She expects that within about 4 years, the
number of bar customers will increase by 50 percent and the dining
customers will increase by 20 percent.
Taylor is worried that the restaurant will not be able to handle
the increase in customers and has commissioned a capacity analysis,
focusing on four areas of capacity: the parking lot (which has 80
spaces), the bar (54 seats), the dining room (100 seats), and the
kitchen. She has provided the following estimates for use in the
analysis:
Taylor has obtained construction estimates. To
increase the capacity of the bar to 80 seats, the dining room to
120 seats, and the kitchen to 25 meals at the same time would cost
$250,000, which Taylor could finance for $5,000 per month for the
next 4 years. There would be no change to the parking
lot.
Assignment:
Prepare an analysis answer the following questions, using the
Capacity Analysis (student).xlsx spreadsheet
provided. You may type your numbers into the “Student
Sheet” tab or reference them from another sheet. Please
prepare your analysis on other tabs. Label the
tabs.
Save your sheet with your last name and send it to me by Sunday
evening [email protected]
Reminders:
Analysis Questions