Finance in Hospitality Essay

2991 Words Dec 30th, 2014 12 Pages
TASK 1
1.1 SOURCES OF FUNDING AVAILABLE TO BUSINESS AND SERVICES INDUSTRIES

There are many ways the Hong Kong government can fund the theme park. The Hong Kong SAR Government offers many different types of loans and funding schemes to support and promote the development of businesses (SMEs) in Hong Kong. The government makes investment through tax proceeds by applying economic systems. Another way of funding is to investment from general public borrowing. Advantage from the general public borrowing, the expansions of tax deductible that will deliver tax deductibility benefit to them. The community will get an ownership facility.
The Innovation and Technology Fund (ITF), administered by the Innovation and Technology Commission, aims
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TASK 2
2.1 EXAMPLE OF DIRECT COSTS, INDIRECT COSTS, FIXED COSTS AND VARIABLE COSTS INCURRED BY HOTEL ICON AND UPPER HOUSE:
Number Name of Cost Categories of cost Explanation 1 Staff Salaries Fixed Cost Cost irrespective of the number of clients takes services. 2 Online facilities charges Semi- variable semi- fixed Foundation charge is fixed but cost will increase with the number of users. 3 Bill preparation cost Variable cost Cost increases with the increase in the number of clients. 4 Swipe credit card charges Variable cost Cost increases with the increase in the number of clients. 5 Hospitality expenditure Indirect cost Not directly related with service. 6 Dismantle cost Indirect and variable Indirect in a sense not directly related, variable as increases with the increase in clients 7 Land and buildings with decorative feature Fixed cost Cost irrespective of the number of clients takes services.

8 Design and decoration Fixed cost Fixed for certain period 9 Transportation and communication facilities Fixed cost Cost irrespective of the number of clients takes services. 10 Lift facility Fixed cost Cost is

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