Period Food-Cost Percentage
Actual period food-cost percent and the variance from theoretical.
Example
You enter
- Beginning inventory ($) 12000
- Purchases ($) 30000
- Ending inventory ($) 10000
- Food sales ($) 120000
- Theoretical food cost (%, optional) 30
You get
- Cost of food sold $32,000.00
- Food cost 26.67%
- Variance ($) $-4,000.00
Checked against published worked examples from: Wiley (Dopson and Hayes).
Details, formula, and sources
ScopeFrom the inventory count (beginning + purchases - ending) and food sales -- the gap that is waste, theft, over-portioning, and price creep.
Formula or tableCOGS (cost of food sold) = beginning inventory + purchases - ending inventory - employee meals and transfers out; food cost % = COGS / food sales x 100; variance = actual - theoretical (in points and dollars).
Source and editionStandard restaurant-accounting identity (NRA / restaurant P&L practice, by name).
Free accessNRA Restaurant Industry Forecast free at restaurant.org.
What governsEstimate. AHJ and licensed professional govern.
API field namesbeginning_inventory, purchases, ending_inventory, food_sales, theoretical_cost_pct, cogs, food_cost_pct, variance_dollars
- Benchmark food-cost band full-service ~28-35% of food sales (advisory)NRA industry medians