Deck 10: Determining Cost Percentages and Pricing the Menu

Question 1

Which of the following is not a method to price a menu?

A) matching a competitor's price
B) amount of markup using a percent
C) food cost percent
D) multiplier effect

Answer 1

A

Question 2

There is one thing a restaurant owner can and must do before setting the menu price of an individual entree or sandwich-the price of the edible portion cost for each menu item must be determined.

Answer 2

False

Question 3

Menu or selling price = raw food cost + food cost percent.

Answer 3

True

Question 4

Raw food cost * markup rate = markup amount

Question 5

The _____ is a detailed list of food served in a food service establishment.

A) menu
B) budget
C) daily food cost report
D) standardized recipe

Question 6

Which of the following is not included on a daily food cost report?

A) direct purchases
B) rent
C) total sales
D) food cost percentage

Question 7

When multiplying or dividing with percents, it is best to convert the percent to its decimal equivalent. This is done by removing the percent sign (%) and moving the decimal point two places to the right.

Question 8

To calculate the amount of average sales:

A) Total Sales ÷ Customer Count = Amount of Average Sales
B) Total Sales * Customer Count = Amount of Average Sales
C) Amount of Average Sales = Total Sales - Customer Count
D) Amount of Average Sales = Total Sales + Customer Count

Question 9

The multiplier effect works on the principle of food cost percentage, but instead of dividing, the restaurant owner multiplies the cost of the raw food by a number that corresponds to the food cost percentage goal.

Question 10

_____ are those foods that are usually purchased each day or every other day. They include produce, dairy products, fresh seafood, bread, rolls, and any other items that are considered perishable.

A) Bulk purchases
B) Customer counts
C) Direct purchases
D) Storeroom requisitions

Question 11

_____ is the cost of the food as it relates to the amount of dollars received in sales. _____ is the cost of labor as it relates to the amount of dollars received in sales.

A) Food cost percentage, Total revenue
B) Labor cost percentage, Food cost percentage
C) Total revenue, Labor cost percentage
D) Food cost percentage, Labor cost percentage

Question 12

_____ are defined as the total moneys needed to pay all the required employees to create, make, and serve food to the guests.

A) Direct purchases
B) Labor costs
C) Food costs
D) Total sales

Question 13

Bulk purchases are those foods that are usually purchased each day or every other day.

Question 14

A daily labor cost report should be generated each day for the manager's review.

Question 15

The three methods that can be used to price the menu-amount of markup using a percent, labor cost percent, and multiplier effect-will all yield the same final menu price.

Question 16

Total Sales = Average Sales * Customer Count

Question 17

Which of the following is not considered when establishing a menu price?

A) customer count
B) labor costs
C) taxes
D) equipment

Question 18

One of the tools that is used to control the cost and use of food is the _____, the purpose of which is to show management the exact cost and amount of food used on any given day.

A) daily food cost report
B) daily labor cost report
C) profit and loss statement
D) invoice

Question 19

One of the tools that is used to control the cost and use of food is the profit and loss statement, the purpose of which is to show management the exact cost and amount of food used on any given day.

Question 20

Markup is the money added to raw food cost to obtain the markup amount.

Question 21

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. In November, Rhonda's Grill spent $5,175 for food with a 37.5% food cost percentage for the month. What was their total sales for the month? $_______________

Question 22

Determine the menu price for the following. Round to the nearest cent. The raw food price is $2.41, and the markup rate is 5/8. $_______________

Question 23

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Sales Price: $18,888 Food Cost: $11,300 Food Cost Percent: _______________%

Question 24

Determine the menu price for the following. Round to the nearest cent. What is the menu price using the multiplier of 5.3 if the raw food cost is $4.86? $_______________

Question 25

If the markup is figured by using percent, the menu or selling price of an item is determined by _____.

A) dividing the raw food cost by the percent, then multiplying the markup and the raw food cost
B) multiplying the raw food cost by the markup and adding the raw food cost
C) dividing the raw food cost by the percent and adding the markup to the raw food cost
D) multiplying the raw food cost by the percent and adding the markup to the raw food cost

Question 26

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Sales Price: $15.54 Food Cost Percent: 13% Food Cost: $_______________

Question 27

Determine the menu price for the following. Round to the nearest cent. The raw food price is $4.66, and the markup rate is 41%. $_______________

Question 28

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. In July, The Yellow Submarine Restaurant calculated a revenue of $59,970 with a 30.00% food cost percentage for the month. What were their food costs for the month? $_______________

Question 29

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. At Stages Restaurant, they calculated a total of $30,777 in food last month. They earned revenue of $112,221. What was their food cost percentage for the month? _______________%

Question 30

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $5.75, and a 45% food cost is desired. $_______________

Question 31

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Sales Price: $16.00 Food Cost: $4.90 Food Cost Percent: _______________%

Question 32

Determine the menu price for the following. Round to the nearest cent. The raw food price is $3.63, and the markup rate is 70%. $_______________

Question 33

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Sales Price: $1,908 Food Cost Percent: 33.5% Food Cost: $_______________

Question 34

Determine the menu price for the following. Round to the nearest cent. What is the menu price using the multiplier of 2.6 if the raw food cost is $2.25? $_______________

Question 35

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $3.47, and a 27% food cost is desired. $_______________

Question 36

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $4.10, and the markup rate is 42%. $_______________

Question 37

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $3.50, and a 32% food cost is desired. $_______________

Question 38

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $2.26, and a 22% food cost is desired. $_______________

Question 39

Determine the menu price for the following. Round to the nearest cent. The raw food cost is $5.90, and the markup rate is . $_______________

Question 40

Determine the menu price for the following. Round to the nearest cent. What is the menu price using the multiplier of 2.9 if the raw food cost is $6.06? $_______________

Question 41

Round percents to the nearest hundredth of a percent. The total cost of all food purchased for the day is $2,810. The total sales is $4,055 for the day. Find the daily food cost percentage. _______________%

Question 42

____________________ is the money added to raw food cost to obtain a menu price.

Question 43

____________________ ____________________ are those foods that are usually purchased each day or every other day.

Question 44

The ____________________ is a detailed list of food served in a food service establishment.

Question 45

____________________ ____________________ ____________________ is the cost of the food as it relates to the amount of dollars received in sales.

Question 46

A(n) ____________________ ____________________ ____________________ report should be generated each day for the manager to keep track of the daily cost of labor.

Question 48

One of the tools that is used to control the cost and use of food is the ____________________ ____________________ ____________________ report.

Question 49

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Food Cost: $2,632 Food Cost Percent: 31.1% Sales Price: $_______________

Question 50

____________________ ____________________ ____________________ is the cost of labor as it relates to the amount of dollars received in sales.

Question 51

Round percents to the nearest hundredth of a percent. The daily sales are $4,750. Find the daily labor cost percentage if the Chef makes $1,140 a week and works six days a week. _______________%

Question 52

____________________ ____________________ are the moneys spent to prepare any and all products used in an individual recipe or an entire meal.

Question 53

When a restaurant owner multiplies the cost of the raw food by a number that corresponds to the food cost percentage goal, the owner is using a system called the ____________________ ____________________.

Question 54

Using the Chef's Magic Circle, complete the following. Round percent answers to the nearest hundredth and money answers to the nearest cent. Food Cost: $1.22 Food Cost Percent: 32% Sales Price: $_______________

Question 55

A(n) ____________________ ____________________ is a list of food items issued from the storeroom upon the request of the production crew.

Question 59

____________________ ____________________ are defined as the total moneys needed to pay all the required employees to create, make, and serve food to the guests.

Question 60

A list of goods sent to the purchaser with their prices and quantities listed is called a(n) ____________________.

Question 64

Fill in the table. For the following daily food cost reports find:
• Total cost of food for today, to date, and last month to date.
• Total sales for today.
• Food cost percent today, to date, and last month to date.