hrm230 module #1 History and module #2 Ownership

How old is fermentation; wine?

9,000 years (about 7,000 BCE)

Why did human behinds rely on alcoholic beverages for centuries?

What country is thought to be the 1st to purposely fermented rice or grapes?

Jiahu, China

what is the origin of the word, ‘alcohol’?

Arabic

How old is beer thought to be?

8,000 years (about 6,000 BCE)

What type of establishment is the most common for serving alcoholic beverages?

Food and Beverage

What is ‘temperance’?

Is a social and religious movement to slow down consumption

What is ‘prohibition’?

Is a development of the temperance movement after many states outlawed the sale and consumption of spirits. It outlawed the sale, manufacture, and consumption

When was prohibition started and when did it end?

January 17th 1920 to December 5th 1933

What constitution amendment started and stopped prohibition?

18th & 21st amendments

what organ processes alcohol in the human body?

Liver

What is the legal level of intoxication in arizona?

0.08%

What is ‘dramshop’?

Originates from old English pubs where liquor is served in a measurement called ‘dram’. Dramshop law passes liability from the drunken individual (the 1st party) to the seller (the 3rd party), server, and the licensee who last served the drunken individual. Could be a bar, pub, tavern, liquor store, or restaurant

Who might be responsible in a ‘dramshop’ liability case?

Responsibility would fall to the seller (the 3rd party), sever, and the licensee who last served the drunken individual

what are the four types of ownership in a business today?

Sole Proprietorship

Partnership

Corporation

LLC (Limited Liability Company)

What are the compelling reasons to set up a restaurant as an LLC?

It’s a hybrid organization

Sole proprietorship type ownership with legal security of a corporation

It’s not taxed

Pass-through taxes to owner

what are the elements of a franchise that make it a good business decision?

It’s a turn-key operation

Knowledge and expertise already proven

Known Name & Atmosphere

Often offers financing

Percentage of profits as a fee

Paid advertising

Corporate Support

What is a budget? What are the three primary elements of a budget?

Is a financial plan for a given period of time (POT) comparing revenues to expenses and anticipated profit.

Revenue

Expenses

Net Income (Profit or Loss)

What is the purpose of a business plan?

The purpose is to document proof of how your business will succeed. It acts as a guide/financial resume where you’ll find a summary of finances and source of funding.