HTF 255 : CHAPTER 7 – RECIPE COSTING

RECIPE COSTING

·         Method used to determine the profit on food products

THE IMPORTANT OF RECIPE

·         To obtain and maintain maximum profit 4 major expenses needs to be aware :

Ø  Food

Ø  Labor

Ø  Overhead

Ø  Profit

·         6 guidelines to achieving a greater profit :

Ø  Do comparative buying

Ø  Do not always purchase a product with the lowest price

Ø  Pilferage is the biggest contributor to a high food cost percentage. Management must be aware about employees that snacking or eating at the foodservice operation.

Ø  Proper training of all employees will help reduce food cost.

Ø  Portioning food in its proper portion size is vital in controlling the food cost percentage.

Ø  Waste of food caused by overproduction is another factor that contributes to less profit.