In the restaurant business, determining the selling price of food will refer to the Food Cost.
To be able to find out what the selling price of our products is, the food cost formula must be calculated first, with a certain formula.
If the formula has been obtained, we can also find out how much profit we will get from one food product.
The consequences will be if we do not calculate the food cost, the selling price is too expensive so that there are no buyers, or vice versa, it will suffer losses.
So what is the meaning of Food Cost?
All costs incurred to be able to make a food product. The amount of this fee is of course in accordance with the amount of gram / kg size required based on a food recipe.
The value of food cost is determined by the% and usually this calculation is done by the restaurant chef.