1. SHOW ME THE MONEY! Objective: Determine the selling price of a Holiday Cookie Box 1

2. Solve the following : 1. Find the cost of 10 boxes if a case costs $12.89 for 40 boxes. 2. Find the total cost of one egg if the cost of a case is $22.87 for 15 doz. 3. Find the cost of 2 cups of flour if a 50 pound bag of flour costs $14.77. Use the conversion factor of 3.48 cups/lb of flour. 2

3. Answers 1. $3.23 for 10 boxes 2. $.13 per egg 3. $.18 for two cups flour 3

4. Food Cost Percentage IS… Percentage of the selling /menu price that represents the cost of the food and supplies used. Supplies may include things such as the box, tissue paper, ribbon, etc. 4

5. Restaurants set a food cost percentage goal (typically 33%) and use this as a way to evaluate their operation. Anything over their FCP (food cost percentage) goal represents loss or waste. Anything under their FCP represents extra profit! 5

6. Food Cost FCP Sales /Menu Price 6 divide multiply

7. If the FCP = 25% and the FC is $1, find the selling price. MEMORIZE THIS!! Food cost (FC)/ Food cost percentage (FCP) = Selling price (SP) 25%(Don’t forget to change the % to a decimal.) 1/0.25 = 4 So the selling price is $4. Ex:

8. If the FCP = 50% and the FC is $1, find the selling price. MEMORIZE THIS!! Food cost (FC)/ Food cost percentage (FCP) = Selling price (SP) (Don’t forget to change the % to a decimal.) 1/0.5 = 2 So the selling price is $2. Ex: 50%

9. Observations: Dividing by a fraction (decimal) causes the number to get bigger. Dividing by smaller decimal causes the number to get bigger than dividing by a larger decimal. So: The smaller the FCP, the bigger the profit. The bigger the FCP, the smaller the profit.

10. We can rearrange the formula several different ways to accommodate our needs. If we multiply both sides by the FCP, we get: FC = (SP)( FCP) Ex: If the menu price is $13 and the FCP is 18%, what is the cost of the food? If we now divide both sides by SP, we get: FCP = FC/SP Ex: If an ingredient costs $2.98 and the menu price is $14.95, what is the food cost percentage? Math Concepts 10 Remember:(FC) / (FCP) = (SP)

11. We can rearrange the formula several different ways to accommodate our needs. If we multiply both sides by the FCP, we get: FC = (SP)( FCP) Ex: If the menu price is $13 and the FCP is 18%, what is the cost of the food?Answer: $2.34 If we now divide both sides by SP, we get: FCP = FC/SP Ex: If an ingredient costs $2.98 and the menu price is $14.95, what is the food cost percentage? Answer: 20% Math Concepts 11 Remember:(FC) / (FCP) = (SP)

12. Food Costing $ /dozen for Gingerbread Wreaths $ /dozen for Old-Fashioned Sugar Cookies $ /dozen for Spritz $ /dozen for Butter Drop-Ins $ /dozen for Frosty Snowballs $ /dozen for Nutcracker Sweets $ /dozen for Buffalo Chip Cookies 12

13. Let’s Try it Out! Take a few minutes and work through the questions on the Holiday Cookie Box Project Pricing worksheet. 13

14. Let’s Try it Out! Take a few minutes and work through the questions on the Holiday Cookie Box Project Pricing worksheet. 14 Answers Here!!!!!!!!!!

15. Now apply it to these questions Use percent and ratio concepts to help you solve the following problems. REMEMBER: “0f” means to multiply. Change all your decimals to percents. OR Use the formula: (which is just the ratio of the part to the w h o l e ) 15

16. A large repair on the kitchen cooler costs a total of $635. If $409 was labor cost and the rest was for parts, A) What is the percent of the labor cost? B) And it took 8 hours for the repair person to fix the cooler, what is their hourly rate? C) Find the percentage of the total that was spent on parts. One part needed accounted for 22% of the total cost of the parts. What was the cost of the part? Questions…

17. A large repair on the kitchen cooler costs a total of $635. If $409 was labor cost and the rest was for parts, A) What is the percent of the labor cost? socross-multiply and solve 40900=635x x=64.41% Questions…

18. A large repair on the kitchen cooler costs a total of $635. If $409 was labor cost and the rest was for parts, B) And it took 8 hours for the repair person to fix the cooler, what is their hourly rate? x=hourly rateso8x = 409 per hour Questions…

19. A large repair on the kitchen cooler costs a total of $635. If $409 was labor cost and the rest was for parts, C) Find the percentage of the total that was spent on parts. One part needed accounted for 22% of the total cost of the parts. What was the cost of the part? $635 - $409 = $226 (total cost for parts) so Questions…

20. EXIT SLIP A dinner menu item is priced at $16.99. The food cost percentage for this item is 43%. If the main ingredient of the item accounts for 87% of total food costs, find the cost of main ingredient. 20

21. EXIT SLIP A dinner menu item is priced at $16.99. The food cost percentage for this item is 43%. If the main ingredient of the item accounts for 87% of total food costs, find the cost of main ingredient. 21

22. Holiday Cookie Boxes A box of cookies will contain one dozen of each type of cookies, one box, two sheets of tissue paper and 5 ft. of ribbon. Calculate the total sales price with a food cost percentage of 50% and 34% for one box of cookies Wildcat Culinary Arts will be offering for sale to staff. SHOW YOUR WORK! 22

23. Ask yourself--- Is your sales price reasonable? Do you think people will order boxes of cookies at this price? How would you adjust the price and how would that affect your profits? 23