Perla Jackson owns and operates a successful cuisine company. She knows her business, but she often wonders if anyone el
Posted: Tue Jul 05, 2022 11:50 am
Perla Jackson owns and operates a successful cuisine company.She knows her business, but she often wonders if anyone else reallydoes. Each catered event she manages is unique. Her 7
company enjoys an excellent reputation because of Perla’sattention to detail and total commitment to customer service.In a good month, Perla and her staff of 30 employees will serveover 12,000 lunch and dinner meals. Last year sales exceeded$3,000,000. Perla’s company was simply the one that people alwayscalled when a large special party or event needed to be executedextremely well.The biggest catered event 4,200 people for dinner at the ConventionCenter, and Perla’s team performed flawlessly. Although she wasconfident that she knew how to operate her business, she wonderedabout her profitability.- Were her food production people and bartenders as cost consciousas they should be?- Were her servers truly efficient?- Were her profits reasonable?These were legitimate questions, and Perla wanted solidanswers.1- Identify and write out one specific food, one beverage, onelabor, and two profitability ratios you believe would be criticalfor Perla to compute and monitor if she wants to effectivelyanalyze her business success.2- What would be your reply to Perla if she asked you how ofteneach of the five ratios you have suggested should be computed?Why?3- How could comparative ratio analysis help address Perla’sconcerns? What are some data sources Perla could turn to as shesought answers to her business effectiveness questions?
company enjoys an excellent reputation because of Perla’sattention to detail and total commitment to customer service.In a good month, Perla and her staff of 30 employees will serveover 12,000 lunch and dinner meals. Last year sales exceeded$3,000,000. Perla’s company was simply the one that people alwayscalled when a large special party or event needed to be executedextremely well.The biggest catered event 4,200 people for dinner at the ConventionCenter, and Perla’s team performed flawlessly. Although she wasconfident that she knew how to operate her business, she wonderedabout her profitability.- Were her food production people and bartenders as cost consciousas they should be?- Were her servers truly efficient?- Were her profits reasonable?These were legitimate questions, and Perla wanted solidanswers.1- Identify and write out one specific food, one beverage, onelabor, and two profitability ratios you believe would be criticalfor Perla to compute and monitor if she wants to effectivelyanalyze her business success.2- What would be your reply to Perla if she asked you how ofteneach of the five ratios you have suggested should be computed?Why?3- How could comparative ratio analysis help address Perla’sconcerns? What are some data sources Perla could turn to as shesought answers to her business effectiveness questions?