A hotel’s F&B department will host a banquet for 100 guests. The guests are to be charged $75.00 per person for food and $35.00 per person for alcoholic beverages. The service charge for the event will be 20%. What is the amount of food and beverage income (revenue) that will result from hosting this event?
Question 4Answera.$8,400
b.$11,000
c.$16,300
d.$13,200
The total income from hosting the event can be calculated by adding the income from food and beverage sales, and then including the service charge.
For food: 100 guests * $75.00 per guest = $7,500
For alcoholic beverages: 100 guests * $35.00 per guest = $3,500
Now, let's calculate the service charge: 20% of ($7,500 + $3,500) = 20% of $11,000 = $2,200
Adding all these together gives us the total income: Food and beverage sales: $7,500 + $3,500 = $11,000 Service charge: $2,200
Total income = Food and beverage sales + Service charge Total income = $11,000 + $2,200 = $13,200
So, the correct answer is d.$13,200.