Pr. 12-6Problem 12-6 represents an incorrect N answer =COUNTIF(A.docx

Pr. 12-6Problem 12-6* represents an incorrect N answer
=COUNTIF(A14:H27,"~*")Name:0Section:" " represents an
unanswered N box - counts as an incorrect.
=COUNTIF(A14:H27," ")34Score:0%" " represents a correct
blank answer or N answer =COUNTIF(A14:H27," ")0Key
Code:2Total SUM(AV13:AV15)Instructions
34Answers are entered in the cells with gray
backgrounds.Percentage =AD6/AD8Cells with non-gray
backgrounds are protected and cannot be edited.0%A red
asterisk (*) will appear beside, above or below an incorrect
answer.Notes:" " represents an unanswered N box - counts as
an incorrect." " represents a correct blank answer or N
answer1.Total number of answers = sum of
aboveEthyleneButaneEsterConditional formatting might be used
but wasn't here, to hide some of the error check return symbols.
If A1 = "~*", then font = red, if something else, then font =
background color.Selling priceSteps:Variable conversion cost
per unit
Highland Community College: Enter all costs as positive values.
Highland Community College: Enter all costs as positive
values.Open this sheet and macro sheetDirect materials cost per
unitOpen old templated, then change color palet to this
sheet'sTotal cost per unitInsert new header - change problem
number and reformatContribution margin per unitCopy these
formulas (column AD) to new sheet.Update to new edition's
names and numbersCopy new error check formulas. For N-
boxes2.=IF(sol.!$C$5="OFF","",IF(AC25="","

",IF(AC25<>sol.!AC25,"*","
")))EthyleneButaneEsterContribution margin per unitReactor
(bottleneck) hours per unit¸For B-BoxesContribution margin per
reactor
hour=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!AC30,"*","
"))Copy Score formula from this template to new
sheet.=IF(sol.!$C$5="OFF","","Score:")=IF(sol.!$C$5="OFF","
",AD10)Which product is the most profitable?Ethylene delivers
the most contribution margin per bottleneck
hour.Explain:Butane delivers the most contribution margin per
bottleneck hour.=IF(sol.!$C$5="OFF","","*Since some answer
boxes are correct when left blank, the beginning score is greater
than 0%.")Ester delivers the most contribution margin per
bottleneck hour.3.One way to revise the pricing would be to
increase the price to the point where all three products produce
profitability equal to the highest profit product. This would be
determined as follows:Revised Price of Ethylene:Unit
Contribution Margin per Reactor Hour for EsterRevised Price of
Ethylene-Unit Variable Cost
of Ethylene=Reactor Hours of Ethylene per UnitRevised Price
of Ethylene-==Revised Price of Ethylene(Price required of
Ethylene to deliver the same contribution margin per bottleneck
hour as doesester.)Revised price of Ester:Unit Contribution
Margin per Reactor Hour for EsterRevised Price of
Butane-Unit Variable Cost
of Butane=Reactor Hours of Butane per UnitRevised Price of
Butane-==Revised price of Butane(Price required of Butane to
deliver the same contribution margin per bottleneck hour as
doesester.)The manager has used differential cost instead of full
unit cost in the analysis.The manager has used full unit cost
instead of differential cost in the analysis.The fixed costs must
be included in the decision analysis.
sol.Problem 12-6* represents an incorrect N answer
=COUNTIF(A14:H27,"~*")Name:SOLUTION0Section:" "
represents an unanswered N box - counts as an incorrect.
=COUNTIF(A14:H27," ")Score:See student sheet for student's

score0Scoring:ON" " represents a correct blank answer or N
answer =COUNTIF(A14:H27," ")8Total
SUM(AV13:AV15)Instructions
asterisk (*) will appear beside, above or below an incorrect
answer.Notes:" " represents an unanswered N box - counts as
an incorrect." " represents a correct blank answer or N
answer1.Total number of answers = sum of
aboveEthyleneButaneEsterConditional formatting might be used
background color.Selling price$ 400$ 350$
250Steps:Variable conversion cost per unit$ 120
values.$ 120
values.$ 80
values.Open this sheet and macro sheetDirect materials cost per
unit18013090Insert new header - change problem number and
reformatTotal cost per unit$ 300$ 250$ 170Copy these
formulas (column AD) to new sheet.Contribution margin per
unit$ 100$ 100$ 802.EthyleneButaneEsterContribution
margin per unit$ 100$ 100$ 80Reactor (bottleneck) hours
per unit¸1.00.80.5Contribution margin per reactor hour$ 100$
125$ 160Which product is the most profitable?EsterEthylene
delivers the most contribution margin per bottleneck hour.Copy
Score formula from this template to new sheet.Explain:Butane

delivers the most contribution margin per bottleneck
hour.=IF(sol.!$C$5="OFF","","Score:")=IF(sol.!$C$5="OFF",""
,AD10)Ester delivers the most contribution margin per
bottleneck hour.Ester delivers the most contribution margin per
bottleneck hour.=IF(sol.!$C$5="OFF","","*Since some answer
than 0%.")3.One way to revise the pricing would be to increase
the price to the point where all three products produce
profitability equal to the highest profit product. This would be
determined as follows:Revised Price of Ethylene:Unit
Contribution Margin per Reactor Hour for EsterRevised Price of
Ethylene-Unit Variable Cost
of Ethylene=Reactor Hours of Ethylene per UnitRevised Price
of Ethylene-$300$160=1.0$460=Revised Price of
Ethylene(Price required of Ethylene to deliver the same
contribution margin per bottleneck hour as doesester.)Revised
Price of Butane:Unit Contribution Margin per Reactor Hour for
EsterRevised Price of
Butane-Unit Variable Cost
of Butane=Reactor Hours of Butane per UnitRevised Price of
Butane-$250$160=0.8$378=Revised price of Ester(Price
required of Ester to deliver the same contribution margin per
bottleneck hour as doesester.)The manager has used differential
cost instead of full unit cost in the analysis.The manager has
used full unit cost instead of differential cost in the
analysis.The fixed costs must be included in the decision
analysis.
Introduction
The research proposal explores through various areas of
the research to be conducted on customer service in the hotel
service. The importance of the research will be to evaluate the
core values which are normally followed in the customer service
in the hotels. Customer service in the hotels is very pertinent in

the hospitality field since it is what determines the outcome and
productivity in the hotels. Good customer service in the hotels
includes a wide range of services. Good customer service is the
key to successful hotel business and that is why this research
proposal will be of great importance I helping the researchers to
establish the key secrets of building customer loyalty through
provision of true customer service. Effective customer service
in the hotel service creates a very rewarding customer
satisfaction since it provides important information such as
reservations, contact information as well as services (Creswell,
2003).
The structure that I have written this research proposal has
sections such as introduction, research questions, the research
methodology, research time frame, achievement after research
as well as the reference section. This research proposal
structure directed me in the research so as to achieve my goal of
carrying out the intended research.
Research questions
1. Does customer care service have an effect on customer
satisfaction and does customer care service determine whether
the needs of customers are met?
2. Does quality customer service plays a role in the retention of
customers and attracting of new customers?
3. Are the customer care services offered in hotels in the current
day and era satisfactory as far as customer satisfaction is
concerned?
4. Does the employee training program offered enhance better
delivery of services to customers?
Research methodology
Research methodology is the procedure which can be
applied by a researcher to facilitate the collection of data and
information required form one to carry out the research. These
are the techniques applied by the researcher to underpin the
methods to be used in the collection of data for purposes of

generating the hypothesis of the research.
The sampling site I have selected is Quest Caroline
Springs. This is the guest satisfaction hotel that I have used to
enable me to conduct my research. It will therefore be my
sample site (Creswell, 2003).
The research methodologies used in my research includes the
following;
1) Sampling approach
Sampling method of research method where the researcher takes
a sample of what he intends to research on to be the basis of his
research. The researcher then carries out an investigation on
this sample in a bid to establish whether the sample has the key
things he wants to find out. In application of this method, a
sample of one of Quest Caroline Springs was useful. Through
investigation of the customer services in the sample, the quality
of customer services was identified. Some of the questions that
can help in carrying out this investigation included questions on
whether the customer services offered to guest in Quest
Caroline Springs meets customer satisfaction. The sampling
method provided information concerning this question since the
sample included some of the customers at Quest Caroline
Springs and inquired about the quality of services they got from
the customer service department of the hotel.
Sampling some of the hotel customer service employees and
guests found out whether they feel that the kind of services they
offered to customers are meeting customer satisfaction or
whether the customers have submitted any complaints as far as
the customer service of the hotel is concerned is important too.
The advantage of using the sampling method is that it provided
the researcher with quality first-hand information from hotel
customers as well as some of the employees in the customer
service department.
2) Interviews
This is a research method where there is a face to face

discussion between the researcher and respondent. It was a very
effective method in acquiring information from a number of
customer service employees of a selected hotel. For instance,
Quest Caroline springs customer service help desk. This
interview helped in the collection of data on how the hotel
customer services are administered and whether the hotel
customer services meets customer satisfaction through the
customer services they offer (Howell, 2013).
This method was very successful as simple and short-structured
questions were used. This is because structured questions
require direct and straight to the point answers. A mixture of
open ended questions and closed questions was very useful and
beneficial in this research. The interviewees, in this case some
customers of the hotel and a number of employees from the
customer service department of the hotel (Creswell, 2003).
The benefit of this research methodology was that it provided
me with immediate feedback and was less time consuming. The
information collected using this method was reliable since the
method provided an opportunity for collection of first hand data
which I was able to gauge access to the credibility of the
information given by the interviewees.
3) Questionnaires
The use of questionnaires was effective strategy and method of
acquiring information about customer service. Through
questionnaires, first-hand information on this issue was
acquired. The structuring of questionnaires in order to collect as
much information as possible would be of great essence. The
questionnaires were used to enquire information through phone
calls of employees from hotel directories helped acquiring
valuable information regarding hotel service. Using phone calls,
the respondent gave answers to questions that would be well
structured, short and precise (Howell, 2013).
The use or application of questionnaires as a method or strategy
of acquiring information about service delivery would be done
through email service. Sending guest satisfaction survey to
guest would help acquire reliable information on hotel services.

Emails of guest’s would be acquired from various directories
and records in the hotel. For the use of emails to be effective in
acquiring this information, the emails should be have direct
answer questionnaires and have short and precise questions that
use simple and easy to understand language. Long and
complicated questions are likely to be boring to the respondent
and even make them avoid giving responses to the
questionnaires (Howell, 2013).
In the use of questionnaires as a method of acquiring
information, the adoption of the best strategies in this method
should be done in order to ensure that the respondents to the
questionnaires give adequate information. In using
questionnaires, the respondents should be individuals whose
information and feedback cannot be questioned and more
importantly, the respondents must have been in the hotel
industry and the questionnaires will be sent to the guest who has
stayed in the hotel.
Intended
Eventual
Cause
Target Audience
Corporate
Leisure
Corporate
Leisure
NA
Sample Size
150-200
150
Guest refuses to give their email address
Location
Quest Caroline Springs
Quest Caroline Springs
NA

Research Instruments
Guest Survey
Interview
150 sent, 37 received
2 interview with staff
NA
Research Time Frame
In conducting the research, each strategy will have its own time
frame. The whole research should be conducted in a time period
of approximately two months. If time is managed well and
respondents are quick in their responses, the research will take
much less time than expected (Howell, 2013).
Achievement after research
This section should be comprised of expected outcomes form
conducting the research. Before any research is conducted, there
are the hypotheses which are generated. This hypothesis is
proved after the actual conducting of the research.
There are numerous achievements expected after this
research. For example, after the research the hotel should be
aware that the qualities of customer services they offer to the
customers contribute to attraction of new customers as well as
the retention of the existing customers. There should be a direct
connection between the training programs in the hotel industry
and the quality of services offered by the customer service to
customers. To achieve customer satisfaction, Quest Caroline
Springs ought to improve the quality of customer services
offered in the hotel. The hotel should benefit from the research
by being in a position to get a response concerning the quality
of services it offers to its customers through the research and
might also give information to improve the customer service
from guest’s feedback. (Creswell, 2003).

Literature review
Introduction
In accordance to Kandampully (1997), within the present
day’s competitive environment, customer’s perceptions, as well
as, expectations demand that the service leaders have to
distinguish themselves from the emerging main competitors by
ensuring that their customers are not only satisfied but also
delighted by the quality of services which they offer.
Researchers such as (Kandampully, 1997; Lee, Barker, &
Kandampully, 2003) suggest that service and customer loyalty
is actually a two-way relationship. This is due to the fact that as
service firms make attempts to gain client’s loyalty; on the
other hand, the clients seek the firm’s service loyalty.
Nevertheless, recently done studies (Bowen & Chen, 2001)
indicate that there exist additional reasons why service
providers should satisfy customers other than service loyalty.
Service Quality
According to (Lovelock, C. & Wirtz, J., 2004), a service is
the term given to an economic activity which not only creates
value but also provides benefits for clients at certain times, as
well as, places by ensuring that it brings about the desired
change in the service recipient. Even though the process is
sometimes tied to certain physical products, the performance is
considered to be transitory, naturally intangible and does not
usually result in the possession of any of the production factors.
Nonetheless, being in the position of satisfying specific needs
tends to reflect the quality or value of the service to the clients,
inclusive of the economic value, reliability, safety, in addition
to maintainability.
In that regard, the customer’s service quality evaluations along
with the resultant satisfaction levels are considered to have

impact on the fundamental business success measures. To
others, service quality can be described as the variance between
the clients’ service encounter expectations and the actual views
about the services received. In respect to Suman M. along with
Garg, R. (2012), it is thereby forecasted that clients will most
likely consider quality as ‘low’ or ‘poorest’ in the event that
performance fails to meet their anticipations, whereas quality
will be considered as ‘high’ or ‘best’ once performance is way
above the expectations.
Customer Loyalty
In respect to the views of Kumar, R.S., & Advani, J.Y.
(2009); customer loyalty is the term used in describing the
repeat customers’ behavior together with those of the customers
who give good testimonials, ratings or reviews. It does not
simply involve the issue of customers doing a certain company
favor by talking good about it publicly concerning it services or
products or telling family members or friends about the
company’s excellent services but also, it is the program or
process which is aimed at keeping clients happy so that they can
provide more business. Iddrisu, A.M (2011) specified that
loyalty is basically developed over a certain time period from
constituent meeting records, and in some situations even
surpassing the customer expectations.
Therefore, it is outright that customer loyalty can
successfully be realized in certain cases by offering quality
products/services with an affirmed guarantee or via free offers,
discounted prices, coupons, rebates along with other rewards or
incentive programs. The ultimate objective of the
aforementioned strategies is to manage to develop satisfied and
happy clients who will not only become repeat customers but
also lure others to utilize that firm’s services/products. In
respect to Kotler, P. & Gartner, D. (1996), such measures
enable a firm to cut costs greatly thus increasing its profitability
by maintaining its customers other than attempting to attract
new ones. In addition, it makes the firm stakeholders happy
(Mukherjee, 2009).

The customers who are considered as loyal are those who do not
get swayed easily by the competitors’ price inducements and in
most cases they make mote purchase when compared to the less
loyal ones. Nevertheless, it is of great essence to note that there
are numerous factors which contribute towards making such
customers loyal.
Geronikolas (2012) outlined five factors which have the
potential of driving customers away within the hotel industry.
Some of the said factors include lack of observing cleanliness
within the hotel surroundings (particularly within the hotel
restaurants or rooms); poorly trained or perceived rude
employees; the customers’ “need for change” probably in
pricing, affordability, as well as, value for money. Basically,
hotel foods together with beverage standards turn out to be the
most vital in hotel tangibles. Besides, they tend to be
increasingly becoming momentous not only in the creation of
satisfied customers but also in the driving away of the
dissatisfied customers.
Other factors which appear recurrently as elements which drive
business away include the state of the hotel facilities such as
availability of heating facilities or air conditioners; issues
regarding the hotel’s reliability (in delivery of promised
services in an accurate and consistent manner), bad service,
managerial behavior towards unique needs, as well as,
situations which may arise, the nature of the other guests (the
ambience within the hotel created by other customers) in
addition to the noise within not only the hotel but also its
surroundings.
Attracting the right customers and keeping them in touch
through various means is simply customer loyalty. Customer
who is loyal to a particular brand/product or buy it repeatedly
without a second thought determines the customer loyalty.
However, Quest Caroline springs has been able to maintain its
customer loyalty because it has been providing customers with
lots of benefits. Because mostly businesspeople seek services
from Quest Caroline Springs, it is quite obvious that the

customer is loyal to its services provided. Quest Caroline
Springs also rewards the customers with various benefits for
choosing them over their competitors.
Service Quality/Customer Loyalty Relationship
Diverse studies have reviewed the relation between service
qualities along with customer preference loyalty. For instance,
by making the repurchase intentions the measure of loyalty,
researchers such as Cronin, J. Jr together with Taylor, S.A in
their 1994 study made the observation that service quality has
no significant (positive) impact on repurchase intentions (which
contrasts the significant positive effect of satisfaction on the
repurchase intention).
Nonetheless other researchers such as Boulding et.al (1993) by
making the repurchasing elements together with the readiness to
make a recommendation the customer loyalty measures,
established relations between service qualities along with
repurchase intentions together with wiliness to recommend.
However, it should be noted that certain customers may
maintain loyalty as a result of high switching barriers or even
the absence of real substitutes, whereas others will continue
being loyal as a result of finding satisfaction in the provided
services.
In that regard, it is necessary for the service providers to
have being complacent given that customers repeat customers
are not always the satisfied ones and still not all the satisfied
customers can always be successfully retained. Research has
revealed that perceived service quality in most cases affects the
customer loyalty positively. This is basically due to the fact that
it has been found that service quality relates to behavioral
outcomes, mostly within the form of complaint, word-of-mouth,
as well as, recommendation together with switching.
Customer Loyalty and Satisfaction
Customers are considered as satisfied due to the positive
feelings which they have that result from the process of
examining what in reality has been received against the

expected, inclusive of the purchase decision themselves and the
needs along with wants related to the purchase. Other
researchers state that there exists a momentous positive relation
between customer loyalty and customer satisfaction. The
aforementioned relation is strengthened further as the customers
become “delighted” or even “tremendously satisfied”. Wong,
C.B (2005) mentioned that Clarke (2001) stated that customer
satisfaction, that has turned to be nothing special but the entry
price to a certain category is this the beginning point of
establishing customer loyalty.
Nonetheless, customer satisfaction by itself fails to
guarantee loyalty as in certain cases a certain percentage of
customers defect to seek the services of the competitors whereas
they still confess that they still found satisfaction in the
deserted service or product. In that regard, so as to make
certain that customers are not defecting to the competitors, it
was correct for Bowen, T.A along with Brown, S.W (2001) to
point out that customers should be extremely satisfied.
However, sometimes customers change providers due to issues
related to pricing or because new opportunities have been
offered by the competitors, or just because the customers need
some variation.
That notwithstanding, so as to make satisfaction turn out as
effective, it should be in the position of creating loyalty
amongst clients because establishing customer loyalty within
businesses can no longer be considered as a choice. In the
actual sense, it is simply the only strategy which greatly assists
in establishing sustainable competitive advantage. Nevertheless,
not every loyal customer is necessarily satisfied as it has been
found that the service quality level plays a certain significant
role.
Customer Relationship Management
The concept of putting in place measures of ensuring
customer loyalty, as well as, satisfaction is termed as customer
relationship management. However, it should be noted that

within the hotel industry, CRM (Customer relationship
management) does not simply involve the practice of obtaining
guest-centric data. It is actually the art of utilizing historical,
private, as well as, experiential information in personalizing a
client’s stay while establishing incremental revenue
opportunities.
For example, making the observation that a certain guest had a
memorable experience with your hotel offers one the chance of
winning them back for another visit. On the basis of the latest
CRM offerings, hoteliers are in the position of developing
comprehensive customer profiles from the reservation
information. The obtained information can be utilized in
restructuring service delivery such that the guests’ needs can be
satisfactorily met.
In spite of the verity that CRM brings about lasting
benefits to business entities in general, some of them manage to
profit more than others because of putting in place the
appropriate correct measures. It has been established that CRM
may brings benefits to the business entities which obtain
detailed information about their customers.
Besides, in accordance to Gronroos (2004), within the service
business entities such as hotels, their intrinsic productions, as
well as, consumption characteristics are inseparable elements
vital in building relations with customers. Moreover, CRM is
considered as suited ideally to the hotel sector, specifically
once it is implemented not only successfully but also effectively
putting into consideration that hotels are better placed in
obtaining comprehensive data concerning their customers.
The hoteliers are therefore expected to transform the acquired
data into valuable knowledge about them. It is also vital to
realize that CRM is made up of diverse dimensions. The
dimensions are such as key customer focus, knowledge
management, CRM organizations in addition to technology-
based CRM. Basically, it is of great essence that each of the
aforementioned dimensions works systematically within the
business entity so as to be in the position of realizing improved

performance.
Conclusion
On the basis of the reviewed works concerning the impact
of customer service on the hotel industry, it is outright that
service providers have to be complacent putting into
consideration that customers repeat customers are not always
the satisfied ones and still not all the satisfied customers can
always be successfully retained. In addition, research has
revealed that perceived service quality in most cases affects the
customer loyalty positively. This is basically due to the fact that
it has been found that service quality relates to behavioral
outcomes, mostly within the form of complaint, word-of-mouth,
as well as, recommendation together with switching. All in all,
for one to succeed within the hotel industry, he or she should
focus much on customer relationship management which will
assist in winning the loyalty of customers as they will always be
contented with the services offered which in turn impacts
positively on the accrued revenue. After all, the objective of
every business entity is to accrue the maximum revenue
possible.
Data Collection
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+
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+
Reference
Creswell, J. (2003). Research Design: Qualitative, Quantitative,

and Mixed Methods Approaches. California: Sage Publications.
Howell, K. (2013). Introduction to the Philosophy of
Methodology. London: Sage Publications.
Boulding, W., Kalra, A., Staelin, R. &Zeithaml, V.A. (1993). A
Dynamic Process Model of Service Quality: From Expectations
to Behavioral Intentions. Journal of Marketing Research. (30),7-
27.
Bowen, T.A. & Brown, S.W. (2001). Advances in Services
Marketing and Management. Greenwich, CT: JAI Press.
Cronin, J. Jr. and Taylor, S. A. (1994). SERVPERF versus
SERVQUAL; Reconciling Performance-Based and Perception-
Minus-Expectations. Measurement of Service Quality. Journal
of Marketing,(58)1,125-31.
Geronikolas, N. (2012). Customer Defects in the Hotel Industry:
The Five (5) Most Common Factors Driving Business Away.
Hub Pages Inc.
Gronroos, C. (2004), The relationship marketing process:
communication, interaction, dialogue, value. Journal of
Business and Industrial Marketing,19(2),99-113.
Iddrisu, A. M. (2011). Service Quality and Customer Loyalty:
The Case of the Mobile Telecommunication Industy in Ghana.
KNUST Space. Institutional Repository for KNUST.
Kandampully, J. (1997). Firms should give loyalty before they
can expect it from customers. Managing Service Quality, 7(2),
92-94.
Kotler, P. & Gertner, D. (2002). Country as Brand, Product and
Beyond: A Place Marketing and Brand Management
Perspective. Journal of Brand Management. 4(13), 249-261.
Kumar, R. S. & Advani J.Y. (2009). Factors Affecting
Branding Loyalty: A study in an Emerging Market on Fast
Moving Consumer Goods. Indian Institute of Management
Bangalore.
Lee, S. C., Barker, S., & Kandampully, J. (2003). Technology,
service quality, and customer loyalty in hotels: Australian
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432.

Lovelock, C. & Wirtz, J. (2004). Services Marketing-People,
Technology, Strategy. Prentice Hall.
Mukherjee, P. (2009). Budget Speech 2009-10.
Suman, M. & Garg, R. (2012). Consumer Perception Towards
Quality of Financial Services. Urban vs. Rural Perspective.
Wong, C. B. (2005). The Influence of Customer Satisfaction and
Switching Cost on Customer Retention: A Survey of Retail
Internet Banking Users in Hong Kong. University of South
Australia.
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Chart1BusinessLeisureConferenceRelocationVisiting Friends
and relativesOthers
2.What was the Purpose of your trip
15
10
3
1
2
6
Sheet12.What was the Purpose of your
tripBusiness15Leisure10Conference3Relocation1Visiting
Friends and relatives2Others6To resize chart data range, drag
lower right corner of range.
76800502450123456789Quest WebsiteTravel AgentCorporate
…Word of MouthPrint AdPrevious StayPassing byGoogleOnline
Travel …Others
3.How did you hear about us
Quest WebsiteTravel AgentCorporate Travel ManagementWord
of MouthPrint AdPrevious StayPassing byGoogleOnline Travel
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Chart1Quest WebsiteTravel AgentCorporate Travel
ManagementWord of MouthPrint AdPrevious StayPassing
byGoogleOnline Travel AgentOthers

3.How did you hear about us
7
6
8
0
0
5
0
2
4
5
Sheet13.How did you hear about usQuest Website7Travel
Agent6Corporate Travel Management8Word of Mouth0Print
Ad0Previous Stay5Passing by0Google2Online Travel
Agent4Others5
Travel Agent,
4
Corporate Travel Manager, 8Direct at Quest Location, 7Quest
Website, 7Questt Customer Contact Center, 2Online, 9Other, 0
4.How did you make reservation
Chart1Travel AgentCorporate Travel ManagerDirect at Quest
LocationQuest WebsiteQuestt Customer Contact
CenterOnlineOther
4.How did you make reservation
4
8
7
7
2
9
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Sheet14.How did you make reservationTravel Agent4Corporate
Travel Manager8Direct at Quest Location7Quest
Website7Questt Customer Contact Center2Online9Other0
1093411024681012ExcellentGoodFairPoorFair
5. How would you rate the Quality of the kitchen

ExcellentGoodFairPoorFair
Chart1ExcellentGoodFairPoorFair
5. How would you rate the Quality of the kitchen
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3
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11
Sheet15. How would you rate the Quality of the
kitchenExcellent10Good9Fair3Poor4Fair11To resize chart data
range, drag lower right corner of range.
9156250246810121416ExcellentGoodFairPoorUncertain
7. How would you rate the Quality of the Bathroom
ExcellentGoodFairPoorUncertain
Chart1ExcellentGoodFairPoorUncertain
7. How would you rate the Quality of the Bathroom
9
15
6
2
5
BathroomExcellent9Good15Fair6Poor2Uncertain5To resize
chart data range, drag lower right corner of range.
8. How would you rate the Quality of the bedroom
8. How would you rate the Quality of the bedroom
20
9
3
5
0
bedroomExcellent20Good9Fair3Poor5Uncertain0To resize chart

data range, drag lower right corner of range.
9. How would you rate the Quality of the living room
9. How would you rate the Quality of the living room
15
12
8
2
0
Sheet19. How would you rate the Quality of the living
roomExcellent15Good12Fair8Poor2Uncertain0To resize chart
Strongly Agree, 6Agree, 19Disagree, 5Strongly Disagree,
2Uncertain, 5
10. The Apartment was comfortable
Strongly AgreeAgreeDisagreeStrongly DisagreeUncertain
Chart1Strongly AgreeAgreeDisagreeStrongly DisagreeUncertain
10. The Apartment was comfortable
6
19
5
2
5
Sheet110. The Apartment was comfortableStrongly
Agree6Agree19Disagree5Strongly Disagree2Uncertain5To
resize chart data range, drag lower right corner of range.
Strongly Agree , 0Agree, 6Disagree, 5Strongly Disagree,
6Uncertain/Did not use, 20
11. I was satisfied with the in-room internet
Strongly Agree AgreeDisagreeStrongly DisagreeUncertain/Did
not use
Chart1Strongly AgreeAgreeDisagreeStrongly
DisagreeUncertain/Did not use
11. I was satisfied with the in-room internet

0
6
5
6
20
Sheet111. I was satisfied with the in-room internetStrongly
Agree0Agree6Disagree5Strongly Disagree6Uncertain/Did not
use20To resize chart data range, drag lower right corner of
range.
12. I was Satisfied with Breakfast option
Strongly AgreeAgreeDisagreeStrongly DisagreeUncertain/Did
not use
12. I was Satisfied with Breakfast option
0
10
8
2
18
Sheet112. I was Satisfied with Breakfast optionStrongly
use18To resize chart data range, drag lower right corner of
range.
Agree, 2Disagree, 0Uncertain/Did not use, 35
13. I was satisfied with Pantry Shopping Service
AgreeDisagreeUncertain/Did not use
Chart1AgreeDisagreeUncertain/Did not use
13. I was satisfied with Panty Shopping Service
13. I was satisfied with Pantry Shopping Service
2
0
35
Sheet113. I was satisfied with Panty Shopping

ServiceAgree2Disagree0Uncertain/Did not use35To resize chart
14. I was satisfired with resturant charege back option
not use
14. I was satisfired with resturant charege back option
18
12
0
0
7
Sheet114. I was satisfired with resturant charege back
optionStrongly Agree18Agree12Disagree0Strongly
Disagree0Uncertain/Did not use7To resize chart data range,
drag lower right corner of range.
181054002468101214161820
15.Reception Staff were professional and provided excellent
customer service
not use
Reception Staff were professional and provided excellent
customer service
15.Reception Staff were professional and provided excellent
customer service
18
10
5
4
0
Sheet1Reception Staff were professional and provided excellent

customer serviceStrongly Agree18Agree10Disagree5Strongly
161281005101520Strongly AgreeAgreeDisagreeStrongly
16. Housekeeping Staff were professional and provided
excellent customer service
not use
16. Housekeeping Staff were professional and provided
excellent customer service
16
12
8
1
0
Sheet116. Housekeeping Staff were professional and provided
excellent customer serviceStrongly
use0To resize chart data range, drag lower right corner of range.
15454270246810121416YunishAzraGraceAmolChrisNA
17.Any Particular Quest Employee who contributed to your stay
being more
comfortable and memorable
YunishAzraGraceAmolChrisNA
Chart1YunishAzraGraceAmolChrisNA
Any Particular Quest Employee who contributed to your stay
being more comfortable and memorable
17.Any Particular Quest Employee who contributed to your stay
being more comfortable and memorable
15
4
5
4

2
7
Sheet1Any Particular Quest Employee who contributed to your
stay being more comfortable and
memorableYunish15Azra4Grace5Amol4Chris2NA7To resize
Strongly Agree
27%
Agree43%Disagree14%Strongly Disagree11%NA5%
18.My recent stay met my expectations
Strongly AgreeAgreeDisagreeStrongly DisagreeNA
Chart1Strongly AgreeAgreeDisagreeStrongly DisagreeNA
My recent stay met my expectations
18.My recent stay met my expectations
10
16
5
4
2
Sheet1My recent stay met my expectationsStrongly
Agree10Agree16Disagree5Strongly Disagree4NA2To resize
19.I would return to the property
not use
I would return to the property
19.I would return to the property
16
10
5
5
1

Sheet1I would return to the propertyStrongly
20. I would recommend this property to others
not use
20. I would recommend this property to others
16
9
5
6
1
Sheet120. I would recommend this property to othersStrongly
168751024681012141618
21. I would consider and recommennd the Quest Brand in thhe
future
not use
21. I would consider and recommennd the Quest Brand in thhe
future
16
8
7
5
1
Sheet121. I would consider and recommennd the Quest Brand in
thhe futureStrongly Agree16Agree8Disagree7Strongly

1. Is this your First Stay at Quest Caroline
Springs
Yes, 20
No, 17
Yes
No
Chart1YesNo
1. Is this your First Stay at Quest Caroline Springs
20
17
Sheet11. Is this your First Stay at Quest Caroline
SpringsYes20No17To resize chart data range, drag lower right
corner of range.
15
10
3
1
2
6
0
2
4
6
8
10
12
14
16
Business
Leisure
Conference
Relocation
Visiting Friends and rela...
Others

2.What was the Purpose of
your trip
✓ 1. Ethylene contribution margin per unit, $100
Palomar Chemical Company produces three products: ethylene,
butane, and ester. Each of these products has high demand in
the market, and Palomar Chemical is able to sell as much as it
can produce of all three. The reaction operation is a bottleneck
in the process and is running at 100% of capacity. Palomar
Chemical wants to improve chemical operation profitability.
The variable conversion cost is $20 per process hour. The fixed
cost is $550,000. In addition, the cost analyst was able to
determine the following information about the three products:
Ethylene Butane Ester
Budgeted units produced 15,000 15,000
15,000
Total process hours per unit 6 6 4
Reactor hours per unit 1.0 0.8 0.5
Unit selling price $400 $350 $250
Direct materials cost per unit $180 $130 $90
The reaction operation is part of the total process for each of
these three products. Thus, for example, 1.0 of the 6 hours
required to process ethylene are associated with the reactor.
Instructions
1. Determine the unit contribution margin for each of the
three products.
2. Provide an analysis to determine the relative product
profitability’s, assuming that the reactor is a bottleneck.
3. Assume that management wishes to improve profitability
by increasing prices on selected products. At what price would
ethylene and butane need to be offered in order to produce the
same relative profitability as ester?

asterisk (*) will appear in the row immediately to the right of an
incorrect answer.Notes:" " represents an unanswered N box -
counts as an incorrect." " represents a correct blank answer or N
answer1.Proposal to Operate WarehouseTotal number of
answers = sum of aboveNovember 7, 2012Conditional
formatting might be used but wasn't here, to hide some of the
error check return symbols. If A1 = "~*", then font = red, if
something else, then font = background color.Differential
revenue from alternatives:Revenue from operating
warehouseRevenue from investment in bondsSteps:Differential
revenue from operating warehouseOpen this sheet and macro
sheetDifferential cost of alternatives:Open old templated, then
change color palet to this sheet'sCosts to operate
warehouseInsert new header - change problem number and
reformatCost of equipment less residual valueCopy these
formulas (column AD) to new sheet.Differential cost of
operating warehouseUpdate to new edition's names and
numbersDifferential income from operating warehouseCopy new
error check formulas. For N-
boxes=IF(sol.!$C$5="OFF","",IF(AC25="","
",IF(AC25<>sol.!AC25,"*"," ")))2.Should the proposal to
operate the warehouse be accepted?The differential revenue
from processing further to Decaf Columbian is more than the
differential cost of processing further.For B-
Boxes=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!AC30,"*","
"))3.Total estimated revenue from operating warehouseCopy
Score formula from this template to new sheet.Total estimated
expenses to operate
warehouse:=IF(sol.!$C$5="OFF","","Score:")=IF(sol.!$C$5="O

FF","",AD10)Costs to operate warehouse, excluding
depreciation
amounts.Cost of warehouse equipment less residual
value=IF(sol.!$C$5="OFF","","*Since some answer boxes are
correct when left blank, the beginning score is greater than
0%.")Total estimated income from operating warehouse
Peggy Hussey: This amount could also be determined by adding
the differential income from operating the warehouse to the
investment income forgone.
backgrounds are protected and cannot be
edited.ERROR:#DIV/0!A red asterisk (*) will appear in the row
immediately to the right of an incorrect answer.Notes:" "
represents an unanswered N box - counts as an incorrect." "
represents a correct blank answer or N answer1.Proposal to
Operate WarehouseTotal number of answers = sum of
aboveNovember 7, 2012Conditional formatting might be used

background color.Differential revenue from
alternatives:Revenue from operating warehouse$
4,800,000Revenue from investment in
bonds540,000Steps:Differential revenue from operating
warehouse$ 4,260,000Open this sheet and macro
sheetDifferential cost of alternatives:Insert new header - change
problem number and reformatCosts to operate warehouse$
2,625,000
amounts.Copy these formulas (column AD) to new sheet.Cost of
equipment less residual value800,000Differential cost of
operating warehouse3,425,000Differential income from
operating warehouse$ 835,0002.Should the proposal to operate
the warehouse be accepted?YesThe differential revenue from
processing further to Decaf Columbian is more than the
differential cost of processing further.Copy Score formula from
this template to new
",AD10)3.Total estimated revenue from operating warehouse$
4,800,000=IF(sol.!$C$5="OFF","","*Since some answer boxes
are correct when left blank, the beginning score is greater than
0%.")Total estimated expenses to operate warehouse:Costs to
operate warehouse, excluding depreciation$ 2,625,000
amounts.Cost of warehouse equipment less residual
value800,0003,425,000Total estimated income from operating
warehouse$ 1,375,000

Peggy Hussey: This amount could also be determined by adding
the differential income from operating the warehouse to the
investment income forgone.
On November 7, Five Star is considering leasing a building and
buying the necessary equipment to operate a public warehouse.
Alternatively, the company could use the funds to invest in
$900,000 of 4% U.S. Treasury bonds that mature in 15 years.
The bonds could be purchased at face value. The following data
have been assembled:
Cost of equipment $900,000
Life of equipment 15 years
Estimated residual
value of equipment $100,000
Yearly costs to operate the
warehouse, excluding
depreciation of equipment $175,000
Yearly expected revenues,
Years 1–7 $400,000
Yearly expected revenues
years 8–15 $250,000
Instructions
1. Prepare a report as of November 7, 2012, presenting a
differential analysis of the proposed operation of the warehouse
for the 15 years as compared with present conditions.
2. Based on the results disclosed by the differential analysis,
should the proposal be accepted?
3. If the proposal is accepted, what is the total estimated
income from operations
Ex. 11-7Exercise 11-7* represents an incorrect N answer

asterisk (*) will appear below or immediately to the right of an
counts as an incorrect.Revenue per AccountCost at low
pointOpen old templated, then change color palet to this
sheet'sa.Cost at high pointCost at high pointInsert new header -
change problem number and reformatVariable Cost per Unit=-=-
=per unit.Units produced at high pointUnits produced at high
pointCopy these formulas (column AD) to new sheet.--Units
produced at low pointUnits produced at low pointUpdate to new
edition's names and numbersCopy new error check formulas.
For N-boxesTotal Fixed Costs=
cpence: Calculate the total variable costs for either the high or
the low point, and then subtract them from the total costs at that
point.=IF(sol.!$C$5="OFF","",IF(AC25="","
",IF(AC25<>sol.!AC25,"*"," ")))b.Total variable cost=
cpence: Varibale cost per unit x the number of units.For B-
BoxesFixed cost=
cpence: Calculated
above.=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!AC30,"*","
"))Total cost=Copy Score formula from this template to new
",AD10)=IF(sol.!$C$5="OFF","","*Since some answer boxes
0%.")

sol.Exercise 11-7* represents an incorrect N answer
asterisk (*) will appear below or immediately to the right of an
counts as an incorrect.Revenue per AccountCost at low
pointOpen old templated, then change color palet to this
sheet'sa.Cost at high pointCost at high pointInsert new header -
change problem number and reformatVariable Cost per
Unit=Cost at high point-Cost at low point=$2,110,000-
$1,535,000=$ 23.00per unit.Units produced at high pointUnits
produced at high pointCopy these formulas (column AD) to new
sheet.Units produced at high point-Units produced at low
point70,000-45,000Units produced at low pointUnits produced
at low pointUpdate to new edition's names and numbersCopy
new error check formulas. For N-boxesTotal Fixed
Costs=$500,000
cpence: Calculate the total variable costs for either the high or
the low point, and then subtract them from the total costs at that
point.=IF(sol.!$C$5="OFF","",IF(AC25="","
",IF(AC25<>sol.!AC25,"*"," ")))b.Total variable cost=$
1,380,000
cpence: Varibale cost per unit x the number of units.For B-
BoxesFixed cost=500,000

cpence: Calculated
above.=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!AC30,"*","
"))Total cost=$ 1,880,000Copy Score formula from this
template to new
",AD10)=IF(sol.!$C$5="OFF","","*Since some answer boxes
0%.")
✓ a. $23 per unit
Zeta Inc. has decided to use the high-low method to estimate the
total cost and the fixed and variable cost components of the
total cost. The data for various levels of production are as
follows:
Units Produced Total Costs
45,000 $1,535,000
50,000 1,650,000
70,000 2,110,000
a. Determine the variable cost per unit and the fixed cost.
b. Based on part (a), estimate the total cost for 60,000 units
of production.
(Warren 463)
Warren, Carl S. Survey of Accounting, 6th Edition. Cengage
Learning, 02/2012. VitalBook file.

asterisk (*) will appear beside, above, or immediately below an
answer1.Total number of answers = sum of aboveORGANIC
HEALTH CARE PRODUCTS INC.Conditional formatting might
be used but wasn't here, to hide some of the error check return
symbols. If A1 = "~*", then font = red, if something else, then
font = background color.Estimated Income StatementFor the
Year Ending December 31, 2012Steps:SalesOpen this sheet and
macro sheetCost of goods sold:Open old templated, then change
color palet to this sheet'sDirect materialsInsert new header -
change problem number and reformatDirect laborCopy these
formulas (column AD) to new sheet.Factory overheadUpdate to
new edition's names and numbersCost of goods soldCopy new
error check formulas. For N-boxesGross
profit=IF(sol.!$C$5="OFF","",IF(AC25="","
",IF(AC25<>sol.!AC25,"*"," ")))Operating expenses:Selling
expenses:Advertising
Peggy Hussey: Enter all expenses as positive values.
Sales salaries and commissionsFor B-
BoxesTravel=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!AC30,"*",
" "))Miscellaneous selling expenseTotal selling expenses
cpence: Enter a positive value.Copy Score formula from this
template to new sheet.Administrative
expenses:=IF(sol.!$C$5="OFF","","Score:")=IF(sol.!$C$5="OF
F","",AD10)Office and officers' salaries
cpence: Enter all expenses as positive
values.Supplies=IF(sol.!$C$5="OFF","","*Since some answer
than 0%.")Miscellaneous administrative expenseTotal

administrative expenses
cpence: Enter a positive value.Total expensesIncome from
operations2.Contribution margin ratio =
Peggy Hussey: Sales-=
Craig Pence: The answer will appear when the correct amounts
are entered into the formula.
Peggy Hussey: Sales
Peggy Hussey: Variable costs.
are entered into the formula.3.Break-even sales (units) = =
Craig Pence: Contribution margin per unit.
are entered into the formula.Break-even sales (dollars) = =

are entered into the formula.sales
Craig Pence: Contribution margin ratio.4.Use the Autoshapes
line feature to construct a cost-volume-profit chart indicating
the break-even point.Click and drag either of the lines to sketch
the total revenue and total cost functions on the graph.This
requirement is not automatically
scored.$15,000,000$12,500,000$10,000,000$7,500,000$5,000,0
00$2,500,000$00100,000200,000300,000400,000500,000600,00
05.Margin of safety:Expected sales (in dollars)Break-even point
(in dollars)Margin of safety (in dollars)orMargin of safety (in
percent) =
Peggy Hussey: Margin of safety (from above).
are entered into the formula.=
Peggy Hussey: Expected sales level.
cpence: Enter all expenses as positive values.6.Operating
leverage =

Peggy Hussey: Contribution margin
=
Peggy Hussey: Income from operations
asterisk (*) will appear beside, above, or immediately below an
answer1.Total number of answers = sum of aboveORGANIC
HEALTH CARE PRODUCTS INC.Conditional formatting might
be used but wasn't here, to hide some of the error check return
symbols. If A1 = "~*", then font = red, if something else, then
font = background color.Estimated Income StatementFor the
Year Ending December 31, 2012Steps:Sales$ 10,000,000Open
this sheet and macro sheetCost of goods sold:Open old

templated, then change color palet to this sheet'sDirect
materials$3,200,000
cpence: Enter all expenses as positive values.Insert new header
- change problem number and reformatDirect
labor1,200,000Copy these formulas (column AD) to new
sheet.Factory overhead800,000Update to new edition's names
and numbersCost of goods sold5,200,000Copy new error check
formulas. For N-boxesGross profit$
4,800,000=IF(sol.!$C$5="OFF","",IF(AC25="","
",IF(AC25<>sol.!AC25,"*"," ")))Operating expenses:Selling
expenses:Sales salaries and commissions$1,450,000
Peggy Hussey: Enter all expenses as positive values.
Advertising833,000For B-
BoxesTravel340,000=IF(sol.!$C$5="OFF","",IF(AC30<>sol.!A
C30,"*"," "))Miscellaneous selling expense42,000Total selling
expenses$2,665,000
cpence: Enter a positive value.Copy Score formula from this
template to new sheet.Administrative
expenses:=IF(sol.!$C$5="OFF","","Score:")=IF(sol.!$C$5="OF
F","",AD10)Office and officers' salaries$300,000
cpence: Enter all expenses as positive
values.Supplies210,000=IF(sol.!$C$5="OFF","","*Since some
answer boxes are correct when left blank, the beginning score is
greater than 0%.")Miscellaneous administrative
expense25,000Total administrative expenses535,000
cpence: Enter a positive value.Total expenses3,200,000Income

from operations$ 1,600,0002.Contribution margin ratio =
$10,000,000
Peggy Hussey: Sales-$6,000,000
Peggy Hussey: Variable costs.=40.0%
are entered into the formula.$10,000,000
Peggy Hussey: Sales
Peggy Hussey: Variable costs.
are entered into the formula.3.Break-even sales (units) =
$2,400,000=240,000
are entered into the formula.units$10
Craig Pence: Contribution margin per unit.
are entered into the formula.Break-even sales (dollars) =
$2,400,000=$ 6,000,000

are entered into the formula.sales40%
Craig Pence: Contribution margin ratio.4.Use the Autoshapes
feature on the menu bar at the bottom of the screen to construct
a cost-volume-profit chart indicating the break-even point.Click
on "AutoShapes," then select the "lines" option. Use the straight
line function to sketch the total revenue and total cost
functions.$15,000,000$12,500,000Operating Profit
Area$10,000,000Break-Even
Point$7,500,000$5,000,000$2,500,000Operating Loss
area$00100,000200,000300,000400,000500,000600,0005.Margi
n of safety:Expected sales (in dollars)$ 10,000,000Break-even
point (in dollars)6,000,000Margin of safety (in dollars)$
4,000,000orMargin of safety (in percent) =$4,000,000
Peggy Hussey: Margin of safety (from above).
are entered into the formula.=40.0%
Peggy Hussey: Expected sales level.

cpence: Enter all expenses as positive values.6.Operating
leverage =$4,000,000
Peggy Hussey: Contribution margin
=2.5
Peggy Hussey: Income from operations
leverage
Organic Health Care Products Inc. expects to maintain the same
inventories at the end of 2012 as at the beginning of the year.
The total of all production costs for the year is therefore
assumed to be equal to the cost of goods sold. With this in
mind, the various department heads were asked to submit
estimates of the costs for their departments during 2012. A
summary report of these estimates is as follows:
It is expected that 400,000 units will be sold at a price of $25
a unit. Maximum sales within the relevant range are 500,000
units.
Instructions
1. Prepare an estimated income statement for 2012.
2. What is the expected contribution margin ratio?

3. Determine the break-even sales in units.
4. Construct a cost-volume-profit chart indicating the break-
even sales.
5. What is the expected margin of safety in dollars and as a
percentage of sales?
6. Determine the operating leverage.
(Warren 472)
Warren, Carl S. Survey of Accounting, 6th Edition. Cengage
Learning, 02/2012. VitalBook file.

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