GM Validation Flashcards

1
Q

ROI

A

Return on investment, the cash flow generated in a year from our initial new store investment.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

MPI

A

Menu Price Index. A factor used to even out the matrix which accounts for higher menu prices across the country.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

CAM

A

Common area maintenance. Occupancy line on p&L, landlord costs, parking fees.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

TTM

A

Trailing 12 Months. Last 12 months of sales for a store

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

P&L Trend Report

A

Shows the P&L data by month for the last 13 months

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Real Time/Projection P&L

A

Report that shows the current PandL data for your restaurant and a projection of where you may end the month

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

COS equation

A

Sales - food, beverage, paper

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

PAC

A

Profit after controllable expenses. Gross profit - total controllable expenses

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

Cash Flow

A

PAC - non controllable expenses. Sales minus all expenses for a restaurant.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Accrual

A

Recording expense for items services or goods in the period incurred if payment wast made

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

Pass-through

A

Amount of incremental cash flow resulting from incremental sales. Chipotle expectation is 40%

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Exception reports how soon?

A

24 hours response time

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

Why 40% pass through?

A

for every $1 we generate, a food cost of .30 cents and labor cost of .10 cents + other expenses, leaving us with .40 cents of profit. So in order to maximize that .40 cents, our pass through must be 40% (of every dollar)

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

Advertising % of sales

A

1.75 allocated from sales

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

Loss Prevention Ranking reports

A

Shows where you stand compared to other stores. Identifies stores that need to be audited by loss prevention team. Helps determine opportunities for improvement.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly