CHP Financial Planning & Budgeting 2

Question 1

A housekeeping manager notices chemical supply costs increased 18% over the prior quarter. What is the FIRST step in addressing this variance?

Accepted Answer

Analyze usage logs to identify waste or theft

Answer

Analyzing usage logs identifies whether the increase stems from waste, theft, price hikes, or increased workload before taking corrective action.

Question 2

Which budgeting method allocates funds based on the previous year's budget plus an incremental percentage?

Accepted Answer

Incremental budgeting

Answer

Incremental budgeting starts from the prior period's figures and adjusts by a set percentage up or down.

Question 3

A hotel's housekeeping department has a fixed budget of $12,000/month. Occupancy rises 30% above forecast. What should the manager do?

Accepted Answer

Request a budget amendment to reflect actual occupancy

Answer

A budget amendment is appropriate when a significant unforeseen change in occupancy creates legitimate additional costs.

Question 4

What does the term 'rooms cleaned per labor hour' measure in housekeeping financial management?

Accepted Answer

Labor productivity ratio

Answer

Rooms cleaned per labor hour is a key productivity metric used to evaluate staffing efficiency and control labor costs.

Question 5

When preparing a housekeeping budget, par stock levels for linens are used to calculate:

Accepted Answer

Inventory replenishment costs

Answer

Par stock levels define the quantity of linens needed to operate, which directly determines how much inventory must be purchased and maintained.

(CHP) Certified Housekeeping Professional Practice Test