B.H.M.C.T. (Third Semester) EXAMINATION, 2018
AE-304 HOTEL ACCOUNTING
(2016 PATTERN)
Time 2 Hours Maximum Marks 50
N.B. Attempt any five questions, including Q. No. 1 which is
compulsory.
(ii Use of pocket calculator is permitted.
(iii Figures to the right indicate full marks.
1. Explain the following terms
Cash budget
Visitors paid out
Trade discount
City ledger
Guest weekly bill.
2. Differentiate between
Allowance and discount
Guest weekly bill and VTL.
3. Draw the format of
Allowance
Laundry schedule.
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4. The following balances are carried forward from 14th August 2017
from the Guest Ledger of Hotel Abhinandan
Room No. Name of Guest Time of Plan Rate Balance
Arrival
101 Miss Sneha 7.00 a.m. EP 3000 4000
104 Mr. Mrs. Gupta 10.00 p.m. EP 4500 1800
105 Mr. Gaurav 8.00 a.m. EP 2500 3500
The following charges are to be recorded as on 14th August
2017
6.30 a.m. — EMT was served to all rooms 40 per cup
8.30 a.m. — Breakfast was served to all rooms Rs. 180 per
person.
9.00 a.m. — Mr. Subodh arrived and checked in Room No.
108 at EP with Room rate of Rs. 4,000. He deposited
Rs. 5,000 at the time of check in.
10.00 a.m. — The following charges are to be entered as
Room No. 101 — Laundry Rs. 100, Magazines
Rs. 50
Room No. 104 — Wine Rs. 2,000, Cigarettes
Rs. 80
Room No. 105 — Newspaper Rs. 50, Soft
drinks Rs. 60
Room No. 108 — Snacks Rs. 80, tea Rs. 40.
11.30 a.m. — Mr. Mrs. Gupta checked out and settled their
bill in cash.
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12.30 p.m. — Mrs. Juhi along with her daughter checked in Room
No. 110 on EP Rs. 3,500, deposited Rs. 6,000.
1.00 p.m. — Lunch Rs. 240 was served to all the rooms
except Room No. 101.
4.00 p.m. — Tea was served in all the Rooms Rs. 40 per
cup. Room No. 108 and 2 cups.
8.00 p.m. — Dinner was served to all Rooms Rs. 300 per
person.
Prepare VTL, assuming 10% service charge on Room and
Food.
5. What is budgetary control Explain different advantages of budgetary
control.
6. A manufacturing company has the production capacity of 1,00,000
units per annum. The expenses, profit and selling price for production
at 40,000 units for the year ended are furnished below
Particulars Per Unit Fixed/
Variable
Material 20 Variable)
Labour 12 Variable)
Supervisor's salary 4 Fixed)
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Other expenses in factory 6 Fixed)
Overall administrative expenses 4 Fixed)
Selling and distribution expenses 5 Fixed)
Total cost 51
Profit 19
Swelling price 70
The semi-fixed expenses remain constant upto 75% level of capacity
and will increase by Rs. 10,000 per annum for every increase of
10% of capacity utilization or part thereof.
The market survey shows that selling price will have to be reduced
as under with the increase in capacity utilization
Capacity Reduction in Price Required Over
the Price at 40% Capacity
60% to 80% 10%
Above 80% 15%
You are required to prepare a flexible budget at 90%
and 100% level of capacity inclusive of profit and cost per unit
at each level.
7. Prepare Income Statement under uniform system of accounting from
the following data of Hotel Green Valley
Particulars Room Food Bar
Payroll Expenses 75,000 80,000 40,000
Closing Stock 15,000 55,000 65,000
Sales 9,00,000 5,55,000 4,75,000
Opening Stock — 45,000 75,000
Purchases 4,50,000 1,20,000 2,00,000
Other expenses 3,000 4,000 2,000
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Other expenses are as follows
Depreciation 27500
Advertisement/marketing 31000
Maintenance fee 9250
Gas, Coal and Electricity 27000
Rates and Insurance 27000
Administrative/General Expenses 26000
Conveyance and Transport 22000
Tax paid 29000