WEEK 4

CHAPTER 4: THE MENU, THE FOUNDATION FOR CONTROL

Hello im here again👉👈 Today we will be in the fourth week and we will learn chapter 4 is the menu, the foundation for control.

Menu is the primary sales tool for any restaurants operation.
1) Satisfy guest expectations
2) Achieve quality goals
3) Cost effective
4) Must be accurate

Allowable food cost 

300, 000 (Forecasted food sales) - 189, 000 (Non-food expenses) - 15, 000 (Profit requirements) 

= 96, 000


Budgeted food cost % 

96, 000 (allowable food cost) / 300, 000 (forecasted food sales) 

= 0.32 or 32 % 


Selling price 

1.50 (item's standard food cost) / 0.33 (desired food cost percent)                            

= 4.55

If  food cost is to be 40 %

√ Multiplier 
= 1 / desired food cost %
= 1 / 40
= 2.5

If ingredients cost in 3. 32

√ Base selling price 
= Ingredients cost x Multiplier 8. 30        
= 3.32 x 2.5


Basic Menu Engineering Process:
1) Stars 
- items that are popular profitable
2) Plowhorses 
- item that are not profitable but popular
3) Puzzles 
- item that are profitable but no popular
4) Dogs 
- item that are neither profitable nor popular

THANK YOU👯