Chapter 3 Key Terms

As purchased (AP) method

• A method used to cost an ingredient at the purchase price prior to any trim or waste being taken into account.

• A method used to cost an ingredient after it has been trimmed and waste has been removed so that only the usable portion of the item is reflected.

Butcher’s yield test

• A tool used to calculate the standard portion cost for a menu item, or the exact amount that one serving or portion of a food item should cost when prepared according to the item’s standardized recipe.

• A method used to measure the amount of shrinkage that occurs during the trimming of a meat product.

Closing inventory

• The value of how much food product exists at the end of a given period.

• The value of how much food product exists at the start of a given period.

Cooking loss test

• A way to measure the amount of product shrinkage during the cooking or roasting process.

• A method used to measure the amount of shrinkage that occurs during the trimming of a meat product.

Credits to cost of sales

• The value of how much an operation spent on food products in a given period.

• A category of credits including such items as employee meals, complimentary meals served to guests, or grease sales sold to rendering companies.

Edible portion (EP) cost

• A method used to cost an ingredient after it has been trimmed and waste has been removed so that only the usable portion of the item is reflected.

• The total sum of product costs included in a single meal, or plate, served to a guest.

Ideal food cost

• The exact amount that one serving or portion of a food item should cost when prepared according to the item’s standardized recipe.

• The target cost an operation is aiming for.

Opening inventory

• The value of how much food product exists at the start of a given period.

• The value of how much food product exists at the end of a given period.

Plate cost

• The total sum of product costs included in a single meal, or plate, served to a guest.

• The exact amount that one serving or portion of a food item should cost when prepared according to the item’s standardized recipe.

Portion size

• The value of how much an operation spent on food products in a given period.

• The size of an item’s individual serving, such as “six ounces of fish fillet.”