Definition Food Cost?


Food cost is defined as the percentage of total sales spent on food products in a restaurant. This however depends on the type of restaurant. For example a normal restaurant's food cost is 28-30% while that of a steakhouse is 35%. The figure is useful in determining the profits of a restaurant.
Q&A Related to "Definition Food Cost?"
It depends on who it is being applied to. The consumer or the manufacturer. Consumer: The monetary amount require to purchase food from a distributor. Manufacturer: Amount of money
These are chemicals that are present where the food is grown and processed. They can include contaminants from the air, water, and soil. Some examples are arsenic, mercury and nitrates
According to Wikipedia: " Organic foods. are foods that are produced using methods that do not involve modern synthetic inputs such as synthetic pesticides and chemical fertilizers
1 Follow this formula for actual food cost: Food Cost % = (Beginning Inventory + Purchases - Ending Inventory) / Food Sales Ad 2 Take a physical count of food you have on hand. Start
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