Managerial accounting for the hospitality industry †Free Sample

Question: Discuss about the Managerial accounting for the hospitality industry. Answer: Product Specifications Quantity Price per unit Total P001 Green apples 8 kgs $ 2.5 per kg $ 20.13 P002 Castor Sugar 600 gms $1 per kg $ 0.58 P003 Apricot jam 600 gms $2.5 per kg $ 1.44 P004 Ground cinnamon 12 g $1 per gm $ 11.50 P005 Sultanas 600 gms $.80 per kg $ 0.46 P006 Walnut halves 250 gms $3 per kg $ 0.69 P007 Unsalted butter 700 gms $0.8 per kg $ 0.55 P008 Cake crumbs 700 gms $.7per kg $ 0.48 P009 Cream 600ml $1per l $ 0.58 P010 Flour 7kg $0.4per kg $ 2.76 P011 Salt 100 gms $.3 per kg $ 0.03 P012 Vegetable Oil 460ml $0.2 per l $ 0.09 P013 Egg 23pcs $0.35 per piece $ 8.05 P014 Lemon juice 460ml $0.4 per l $ 0.18 P015 Water 3litres $0.15per l $ 0.45 Grand Total $ 47.96 Working : Product Requirements for 15 portions Quantity Requirements for 350 portions per unit $ $ Green apples 0.35 kg 8.05 2.5 20.125 Castor Sugar 0.025 kg 0.575 1 0.575 Apricot jam 0.025 kg 0.575 2.5 1.4375 Ground cinnamon 0.5 g 11.5 1 11.5 Sultanas 0.025 kg 0.575 0.8 0.46 Walnut halves 0.01 kg 0.23 3 0.69 Unsalted butter 0.03 kg 0.69 0.8 0.552 Cake crumbs 0.03 kg 0.69 0.7 0.483 Cream 0.025 l 0.575 1 0.575 0 0 Flour 0.3 kg 6.9 0.4 2.76 Salt 0.004 kg 0.092 0.3 0.0276 Vegetable Oil 0.02 l 0.46 0.2 0.092 Egg 1 pc 23 0.35 8.05 Lemon juice 0.02 l 0.46 0.4 0.184 Water 0.13 l 2.99 0.15 0.4485 47.9596 As the quantity for fifteen serves had been provided, the quantity required for 350 words was calculating by converting the quantity required for 15 units into 350. When 350 are divided by 24 it gives the unit for 350. Hence the given formula was done for all the quantities proved. Also, some quantities were in unique quantities which have been converted to the net possible logical quantity. Maintaining stock level procedures for the restaurant A restaurant is a service which needs to make sure that the different customers are satisfied. The procedure which is followed within the restaurants to order stock is outlined in the given section (Walker 2016). The restaurants order in a manner to ensure that the customers get the right combination of product at the best possible price and the desired quality. Timing also plays a key role as it helps a firm to maintain adequate inventory levels. When the order is given in a timely manner it ensures that the lead time is sufficient and that the restaurant never has a dearth of a certain product. Given below, are the various perquisites as well as the proper steps which need to be abided by. Steps: Bid system The first component of the given procedure is the routine bids which ensure the existence of fair competition in a business. It also allows the restaurant to conduct fair dealings at the workplace. Prospective suppliers are identified. The owner, manager and the senior staff of the restaurant determine on which supplier should be allowed to take part in a bid (Dopson and Hayes 2016). They take decisions based on criterias like price, specification, delivery schedule, product availability and the quality of the product. The bid process takes place in accordance with the minimum requirements Preparation for the ordering process- It is a systemized set up which needs preparation and efforts. All the suppliers must submit their written proposal in 2 days. The primary decision maker provides the vendors with a list of requirements. They also need to be providing a list of items available for them. The receipt of the Bid Sheet is recorded in the Management Information System of the restaurant in order to evaluate and determine which supplier is to be approached (Kotas 2014). The owner of the organization and the manager may take the given decision. The items which have a single supplier , function differently from others All bids are reviewed by the owner and manager of the hotels to ensure al requirements are met with. After the following is done, the orders are given and recorded in a systematized manner to insure keeping a tract. The key controls for this issue are accountability and consistency. MIS program for food ordering procedures All the food purchases which are being made for the restaurant should be recorded in the System so as to ensure evaluation and proper auditing on timely basis. The log should be completed for all the items (Hugos 2018). The purchases need to be entered in the same units throughout. To segregate the shelf, tags using vegetables, salt, meat and seafood should be used. Revising and re-ordering regularly It must be noted that before placing the order, proper planning needs to be done with respect to the quantity, future orders, quality, ingredients, specification and others. A bid sheet and a purchase order can be prepared for the betterment of their firm`s accounting. References Dopson, L.R. and Hayes, D.K., 2016.Managerial accounting for the hospitality industry. Wiley Global Education. Hugos, M.H., 2018.Essentials of supply chain management. John Wiley Sons. Kotas, R., 2014.Management accounting for hotels and restaurants. Routledge. Walker, J.R., 2016.Introduction to hospitality. Pearson Higher Ed.