1. Jacob operates a Sicilian-themed restaurant that does a significant amount of carryout pizza business. Jacob's P\&L has been designed to indicate the sales levels achieved in his dining room, carryout business, and bar. The revenue Jacob achieved this month and last month is indicated on the partial P\&L shown below. Calculate Jacob's total sales for this month and last month as well as the variances and percentage variances in each of his revenue categories.

[tex]\[
\begin{tabular}{|l|c|c|l|l|}
\hline
\multicolumn{5}{|l|}{Jacob's Restaurant} \\
\hline
& Last Month & This Month & Variance & Variance \% \\
\hline
Sales & & & & \\
\hline
Dining Room & \$84,500 & \$86,250 & & \\
\hline
Carry-out & \$15,000 & \$15,500 & & \\
\hline
Bar & \$13,500 & \$12,750 & & \\
\hline
Total Sales & & & & \\
\hline
\end{tabular}
\][/tex]



Answer :

Sure, let's walk through the problem and calculate the required values step-by-step.

1. Total Sales Calculation:
- Last Month:
- Dining Room: \[tex]$84,500 - Carry-out: \$[/tex]15,000
- Bar: \[tex]$13,500 - Total Sales Last Month: \[ \$[/tex]84,500 + \[tex]$15,000 + \$[/tex]13,500 = \[tex]$113,000 \] - This Month: - Dining Room: \$[/tex]86,250
- Carry-out: \[tex]$15,500 - Bar: \$[/tex]12,750
- Total Sales This Month:
[tex]\[ \$86,250 + \$15,500 + \$12,750 = \$114,500 \][/tex]

2. Variance Calculation:
- Dining Room:
- Variance:
[tex]\[ \$86,250 - \$84,500 = \$1,750 \][/tex]

- Carry-out:
- Variance:
[tex]\[ \$15,500 - \$15,000 = \$500 \][/tex]

- Bar:
- Variance:
[tex]\[ \$12,750 - \$13,500 = -\$750 \][/tex]

3. Percentage Variance Calculation:
- Dining Room:
- Variance Percentage:
[tex]\[ \left( \frac{ \$1,750 }{ \$84,500 } \right) \times 100 \approx 2.071\% \][/tex]

- Carry-out:
- Variance Percentage:
[tex]\[ \left( \frac{ \$500 }{ \$15,000 } \right) \times 100 \approx 3.333\% \][/tex]

- Bar:
- Variance Percentage:
[tex]\[ \left( \frac{ -\$750 }{ \$13,500 } \right) \times 100 \approx -5.556\% \][/tex]

Now we can fill in the table:

\begin{tabular}{|l|c|c|c|c|}
\hline \multicolumn{5}{|l|}{ Jacob's Restaurant } \\
\hline & Last Month & This Month & Variance & Variance \% \\
\hline Sales & & & & \\
\hline Dining Room & \[tex]$84,500 & \$[/tex]86,250 & \[tex]$1,750 & 2.071\% \\ \hline Carry-out & \$[/tex]15,000 & \[tex]$15,500 & \$[/tex]500 & 3.333\% \\
\hline Bar & \[tex]$13,500 & \$[/tex]12,750 & -\[tex]$750 & -5.556\% \\ \hline Total Sales & \$[/tex]113,000 & \[tex]$114,500 & \$[/tex]1,500 & \\
\hline
\end{tabular}

- Variance Total Sales:
[tex]\[ \$114,500 - \$113,000 = \$1,500 \][/tex]

Filling all this information provides us a complete understanding of how Jacob's restaurant has performed this month compared to last month.