Menu Planning and Costing Flashcards

A restaurant's food cost percentage is 32% and total food sales are $18,500. What is the actual food cost?

Answer: $5,920

Food cost = 32% × $18,500 = $5,920.

Which menu engineering quadrant describes items with high profitability but low popularity?

Answer: Puzzles

Puzzles have high contribution margins but are ordered infrequently, making them candidates for repositioning or promotion.

When calculating a standardized recipe cost, which factor accounts for unavoidable ingredient loss during prep?

Answer: Yield percentage

Yield percentage reflects the usable amount after trimming and cooking loss, adjusting the true cost per serving.

A chef purchases 10 lbs of beef tenderloin at $22/lb. After trimming, 7.5 lbs are usable. What is the edible portion cost per pound?

Answer: $29.33

EP cost = (10 × $22) / 7.5 = $220 / 7.5 = $29.33 per pound.

A cycle menu is most beneficial in which foodservice setting?

Answer: Hospital or institutional foodservice

Cycle menus rotate on a set schedule and are ideal for institutional settings where consistent, predictable production is needed.

Which pricing strategy sets menu prices based on what competitors charge for similar items?

Answer: Competitive pricing

Competitive pricing anchors prices to the market rate of similar offerings at rival establishments.

What does a menu's 'contribution margin' measure?

Answer: Selling price minus food cost of an item

Contribution margin is the selling price minus the food cost, representing how much each item contributes to covering overhead and profit.