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Allocation of financial resources to the different department can be done based on the past experience of the expenses and other available relevant information. Looking at the requirement of the organization, I find that the budget should be allocated for Payroll Payment and other employee payments, for purchase of food and beverages, for housekeeping and related purchases and utilities (operating expenses) for the rooms, restaurants and banquets and other general and administrative expenses. The allocated budget is as below:-
2012 E
2011
2010
Remark
Revenue
Rooms, Restaurants and Other services
1312
1093
920
Increase by 20%
Food & Beverages
667
580
489
Increase by 15%
Other Income
50
51
111
In line with 2011
Total Income
2029
1724
1520
Expenses
Food and Beverages Cost
156
136
113
23.45% of sales value
Employee Payment
478
416
360
Other Operating Expenses
374
325
269
General Expenses
406
387
361
Increase by 5%
Total Expenses
1415
1264
1103
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