CPFS Cost Control 4

Question 1

Which menu engineering category describes items with high popularity but low contribution margin?

Accepted Answer

Plowhorses

Answer

Plowhorses sell frequently but generate low profit margins, so managers often try to reduce their costs or reposition them.

Question 2

A restaurant's total sales are $80,000 and controllable expenses are $60,000. What is the controllable profit margin?

Accepted Answer

25%

Answer

Controllable profit margin = ($80,000 − $60,000) / $80,000 = $20,000 / $80,000 = 25%.

Question 3

What is a phantom inventory loss most likely caused by?

Accepted Answer

Employee theft or unauthorized consumption

Answer

Phantom inventory losses—where product disappears without a recorded use—are most commonly caused by employee theft or unreported consumption.

Question 4

Which cost is considered a fixed cost in a foodservice operation?

Accepted Answer

Monthly rent for the facility

Answer

Rent does not change with sales volume and is therefore a fixed cost that must be paid regardless of business activity.

Question 5

An operation uses a purchase order system primarily to:

Accepted Answer

Authorize purchases and control what is ordered and at what price

Answer

Purchase orders authorize specific quantities at agreed prices, preventing unauthorized purchasing and helping control costs.

(CPFS) Certified Professional in Foodservice Sanitation Practice Test