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How much should I buy?.  If we have less than needed?  Disappointed customers  Loss of customers  If we have more than needed?  Storage cost  Deterioration.

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Presentation on theme: "How much should I buy?.  If we have less than needed?  Disappointed customers  Loss of customers  If we have more than needed?  Storage cost  Deterioration."— Presentation transcript:

1 How much should I buy?

2  If we have less than needed?  Disappointed customers  Loss of customers  If we have more than needed?  Storage cost  Deterioration of product  Un-earned revenue

3  Conduct a Yield Test  Physical test of the product: meat, canned goods, produce ▪ Use the Yield Percentage Guide  Forecast the Sales  Keep track of sales, sold items, lost items, pilferage  Understand the ordering sizes  Quantity, quality, cases, singles

4 AP: The original weight of an item purchased meats, vegetables, canned goods, fruits EP: The difference between the original weight and the production loss after preparation after trimming and cooking Calculating Yield Percentage: is used when a percentage is not found in any reference materials

5  Serving size of mashed potato is 4 oz.  Edible Yield is 70%  Number of guests: 600  600 x 4 oz.= 2400 oz.  2400 oz. ÷0.70 = 3428 round up to 3429  3429 ÷ 16 oz. (1 pound)= 214.31 or ▪ Order 215 pounds ▪ Case quantity of potatoes 50 # ▪ How many cases do I need to order?

6  Servable portion cost of a 50 milliliter Scotch Servable Yield of 95% AP Price of $9.10 per liter 1000 ml x 0.95 = 950 ml 950 ml = 19 servings $9.10 ÷ 19 servings = 47.89 round up 0.48 per


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