Food cost control (Chapter 1-2)

Fixed cost is the cost that unaffected by changes in sales volume.

• true

• false

Choose the control techniques for cost control. You may choose more than 1 answer.

• beverage control

• monitoring operation

• production control

• system control

profit = revenue - expenses

• False

• True

Semi variable cost including payroll cost.

• FALSE

• TRUE

Which of the following is NOT including in non-controllable cost.

• Taxes

• Utilities

• License

• Rent

Prime costs referring to the cost of material and labor.

ex: food and beverage & payroll

• TRUE

• FALSE

• NEITHER

• EITHER

One of the reason to calculate yield test is to know the amount of waste.

• TRUE

• FALSE

Yield % = AP weight / EP weight

• TRUE

• FALSE

What would a food cost percentage of 50% indicate?

• Customers are getting their food for cheaper than it should be

• You are paying too little for food.

• This is an impossible outcome; the math is wrong.

• You are paying a proper amount for food.

Opening inventory is $10 000 and purchases amount to $7500, and the closing inventory (which is also the beginning inventory for the next month) is $9000, then the basic cost of food is:

• $8000

• $8500

• $26,500