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8 Standard Cost Tools
This is a preview. There are 5 more flashcards available for chapter 8
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What are Control Points in Food Service?
Basic operating activities that must be performed in any foodservice business. These control points help to give the result of guest satisfaction. -
What are control points in Food Service grouped together as Production Activities?
Preparing, Cooking, and Holding -
What are the advantages and disadvantages of a Standard Recipe?
Advantages- Less supervision
- Consistency
- Can estimate amount of portions more accurately
Disadvantages- Less creativity
- Time-consuming to train employees
- Less supervision
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What are the objectives of a standard recipe?
- Calculate standard portion cost
- Determine the selling price of the menu item
- Optimize menu profitability
- Make annual budgets
- Calculate standard portion cost
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What is the definition of the standard purchase specifications?
A list of detailed characteristics desired in a product for specific use.
It contains information like the name of the product, quality standards, price, and the number of the portion to be produced out of it. -
How do you compare the same product for the same price from different companies to figure out which product has the best value?
By calculating the yield and which product has the highest yield has the highest value. -
What do the costs per servable kg of a product actually represent?
The cost per kilogram of the net volume of a food item after it has been processed and made ready for the guest. -
What is the Ideal Cost?
What your cost would be if you run the perfect company without waste. -
8.1 Formulas S.C.T
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What is the formula to calculate the (EP) Edible Portion Cost per (servable) Kg?
EP Cost per Kg= APPrice /Yield %
or
EP Cost per Kg= AP Price*AP weight/EP weight -
How do you calculate the New EP cost per Kg using the cost factor and what are the formulas?
First --> Calculate the cost factor:
Cost Factor= EP Cost/ AP Price
Second--> Calculate the New EP cost per Kg using th cost factor:
New EP cost per Kg= New AP price x Cost factor
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