costed plateglossary
The language of kitchen costs
Plain definitions, formulas and examples for the numbers behind a menu.
As purchased (AP)
The ingredient in the form and quantity you pay for, before the preparation loss being measured.
glossaryEdible portion (EP)
The usable ingredient remaining after a defined preparation stage, such as peeling, trimming or cooking.
glossaryYield percentage
The usable output divided by the input for a specified preparation, expressed as a percentage.
glossaryQ factor
An explicit allowance for minor recipe costs that have not been individually measured. Its scope must be defined rather than assumed.
glossaryPrime cost
Food and beverage cost plus labor cost for the same operating period. Express it in dollars or as a share of sales.
glossaryTheoretical food cost
The recipe-based ingredient usage expected from the items sold during a defined period.
glossaryCost of goods sold (COGS)
The cost assigned to goods used to generate sales during an accounting period. Kitchen food usage is often calculated from stock movements.
glossaryPar level
The planned stock quantity an operation wants to hold for an item under its normal ordering and service conditions.
glossaryFirst in, first out (FIFO)
A stock-flow and valuation approach that treats the earliest received goods as used before later receipts.
glossaryContribution margin
Selling price less the costs deducted by the specific contribution model. In basic menu engineering, it is menu price less ingredient cost.
glossaryMenu mix
The distribution of item sales within a defined menu group and period, commonly expressed as each item’s share of units sold.
glossaryInventory turnover
A ratio comparing usage cost with average inventory value over the same period. It describes how much stock value moves through the operation.