Practice Test Geeks(CEH) Certified Executive Housekeeper Practice Test
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Budgeting and Inventory Control Flashcards

7 cards from real CEH practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Budgeting and Inventory Control flashcards as text

  1. What is the purpose of an 'occupancy-based budget' in housekeeping?

    Answer: To adjust budgeted costs in line with actual or projected occupancy rates

    An occupancy-based budget flexes variable costs—like supplies and labor—based on the number of occupied rooms, providing more accurate financial planning.

  2. Which of the following is an example of a variable cost in housekeeping?

    Answer: Cleaning supplies used per occupied room

    Cleaning supplies consumed per occupied room change directly with occupancy levels, making them a variable cost.

  3. A hotel replaces its entire linen inventory every 18 months at a cost of $45,000. What is the approximate monthly linen depreciation cost?

    Answer: $2,500

    $45,000 ÷ 18 months = $2,500 per month in linen depreciation.

  4. When issuing supplies from a central storeroom, which system ensures older stock is used before newer stock?

    Answer: FIFO rotation

    FIFO (First In, First Out) rotation ensures older inventory is issued first, preventing product expiration and degradation.

  5. What is 'cost per occupied room' (CPOR) used to measure in housekeeping?

    Answer: The total housekeeping expense divided by the number of rooms occupied

    CPOR measures how much the housekeeping department spends per occupied room and is a key benchmark for cost efficiency.

  6. Which action would MOST likely reduce the cost per occupied room for a large hotel?

    Answer: Implementing labor scheduling software to align staffing with occupancy forecasts

    Labor scheduling software reduces overtime and overstaffing by aligning workforce size with forecasted demand, directly lowering CPOR.

  7. An executive housekeeper receives three bids for cleaning chemicals. The cheapest bid is 20% lower in price but requires 50% more product per application. Which factor should guide the final decision?

    Answer: Evaluate the true cost based on dilution ratio and actual usage per room

    The cost-in-use analysis considers dilution ratios and actual consumption, often revealing that a cheaper product costs more when used as directed.