2006-07-16 03:55:59 · 5 answers · asked by carla28al 2 in Business & Finance ➔ Careers & Employment
labor cost = how many labor hours does it take to pour a "coke" stocking cups, ice, dish-washing, serving, completing money transaction
product = how many cokes do you have to sell to pay for your investment
net product = how much product is then left for profit
products to use in dispensing = paper cups, straws
advertising = who will know I have "coke"
Using this example b/c of name recognition but formula works with any product and by the way, these figures are old, but 25 years ago it cost 7 cents to "pour" a coke leaving the net profit of 43 cents per unit. Judging by the cost now would say just double and you should have a realistic number. BTW-sales reps can provide you with some insight on estimated costs and profit margins, just be careful, they are trying to sell.
2006-07-16 04:07:49 · answer #1 · answered by -Tequila17 6 · 1⤊ 0⤋
Your profit margin can be determined by various factors -
# 1 - the wholesale cost of the ingredients
# 2 - the cost to produce the item
# 3 - a competitors similar item
# 4 - the costs involved to include all overheads
# 5 - the % margin you can/want to make
# 6 - it may also be determined by the Franchise, if you're a Franchisee
Is that any help to you ?
2006-07-16 11:17:31 · answer #2 · answered by Froggy 7 · 1⤊ 0⤋
Most restaurants manage with one way and a very approximate one at that. Why are you asking for five!?
2006-07-16 11:01:58 · answer #3 · answered by Anonymous · 0⤊ 0⤋
U GOT A RESTAURANT WHAT IS IT CALLED MAYBE I'LL GO
2006-07-16 10:57:28 · answer #4 · answered by DJ Vendetta 3 · 0⤊ 1⤋
and you are still in business?
2006-07-16 10:59:09 · answer #5 · answered by Anonymous · 0⤊ 1⤋