Inventory Turnover and Restaurant Dynamics
8 Questions
0 Views

Inventory Turnover and Restaurant Dynamics

Created by
@EndearingGalaxy928

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

How many units does the manufacturing company sell per year?

  • 40,000 units
  • 50,000 units
  • 20,000 units
  • 30,000 units (correct)
  • What is the flow time for the company's inventory in months?

  • 4 months
  • 8 months (correct)
  • 6 months
  • 10 months
  • What is the inventory turnover rate of the manufacturing company?

  • 2.0 turns per year
  • 1.0 turns per year
  • 1.5 turns per year (correct)
  • 2.5 turns per year
  • What would be the absolute inventory cost for a product that costs $1,000?

    <p>$166.66</p> Signup and view all the answers

    How many guests can be seated at Penne Pesto during its operating hours?

    <p>200 guests</p> Signup and view all the answers

    What is the average time a guest spends in the restaurant, including waiting and dining?

    <p>50 minutes</p> Signup and view all the answers

    How long does it take for the restaurant to clean a table after a guest leaves?

    <p>10 minutes</p> Signup and view all the answers

    What happens if there is no available seat at Penne Pesto?

    <p>Guests simply move to another place</p> Signup and view all the answers

    Study Notes

    Inventory Turnover Calculation

    • A medical device manufacturing company generated $60,000,000 in sales, with $20,000,000 worth of inventory at year-end.
    • Each unit in inventory costs $1,000 and sells for $2,000.
    • The company's inventory turnover rate is 1.5 turns per year, calculated by dividing the cost of goods sold (COGS) by the average inventory value.
    • The company's inventory cost is 16.66% per year, calculated by dividing the annual cost of inventory by the inventory turnover rate.
    • The per-unit inventory cost for a $1,000 product is $166.66.

    Penne Pesto Restaurant Dynamics

    • Penne Pesto is a San Francisco restaurant with 50 seats.
    • The restaurant is always full during its four-hour evening service.
    • Customers arrive spontaneously and have no reservation system.
    • The average customer spends 50 minutes in the restaurant, broken down as follows:
      • 5 minutes for seating and ordering.
      • 10 minutes for food preparation.
      • 30 minutes for dining.
      • 5 minutes for check-out.
    • It takes 10 minutes for the restaurant to clean and prepare a table for the next customer.

    Studying That Suits You

    Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

    Quiz Team

    Related Documents

    Description

    Explore the calculations and dynamics for inventory turnover in a medical device company and evaluate the operational flow of a busy restaurant. This quiz covers important business concepts such as sales, inventory management, and customer service efficiency.

    More Like This

    Use Quizgecko on...
    Browser
    Browser