Describe how to determine food costs.

Description should include ways to determine the cost per food item, cost per portion, and purchasing costs and options, as well as the tools used to make these determinations.

Process/Skill Questions:

Thinking

• How is food cost determined?
• What is the definition of yield?
• What factors would determine portion size and yield?

Communication

• Why is it important to understand the cost of a particular food product and how it affects profit?
• How do leaders convey to employees the relationship between desired yield and actual portion size?

Leadership

• What criteria should be used in choosing food vendors?
• Who is responsible for monitoring and preventing product waste?

Management

• How can management ensure that all food deliveries are acceptable and accounted for?
• How can food waste affect profit?
• How can regular inventory help track profit and loss?