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Wednesday, July 15, 2009

Plate Cost Question

Hello,

I have a question and may-be you can help me. When doing a plate cost for your menu items would you include paper products in with the food cost or would it just be the food products to get an accurate food cost.

Thanks,
Food Service Manager


There is no hard and fast rule regarding inclusion of paper products in a plate cost. I'd recommend you build in all costs when calculating a true gross margin.

Cost of sales should include food, beverages and all supplies which vary directly with a sale of an item. An accurate food cost would include only food purchases and you should only divide the costs by sales of food items.

1 comment:

Anonymous said...

In my opinion you should not add paper products to food cost. Only food should be added to food cost or it will throught your % off. However you should add those costs at the end. I.E if your selling price is $5.00 and your paper costs are $1.00 (taxes should be included in the $1.00as well) you should sell for $6.00.

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