Calculating Cost Per Meal

Calculating the cost per meal is an important part of running a successful business. Knowing the cost of each meal you serve can help you make informed decisions about pricing and menu items. Here are some tips to help you calculate the cost per meal:

Gather Your Ingredients

• Gather all the ingredients you need for the meal.
• Check the prices of each ingredient.
• Calculate the total cost of the ingredients.

Calculate Your Labor Costs

• Calculate the time it takes to prepare the meal.
• Calculate the cost of labor for the meal.
• Add the labor cost to the total cost of ingredients.

Calculate Your Overhead Costs

• Calculate the cost of overhead for the meal.
• This includes rent, utilities, and other costs associated with running your business.
• Add the overhead cost to the total cost of ingredients and labor.

Calculate Your Profit Margin

• Calculate the desired profit margin for the meal.
• Add the profit margin to the total cost of ingredients, labor, and overhead.
• Divide the total cost by the number of meals served to get the cost per meal.

By following these steps, you can easily calculate the cost per meal for your business. Knowing the cost of each meal can help you make informed decisions about pricing and menu items.