Hotel & Tourism Cost Analysis

See attached file for full problem description, which is also presented below. Please answer the three questions at the end of the problem.


Food Costing Problem:

For our restaurant we want to serve our bacon wrapped fillet accompanied by a baked potato with butter and sour cream and a tossed salad with choice of dressing. The general manger has assigned you to find out the full cost of this entry.  There are a few things that you will need to know:

* We buy a whole beef tenderloin and cut our own fillet from that. The tenderloin weighs 14 pounds and costs us $8.80 a pound (we are going to disregard wastes for our purposes).

* Bacon costs $.10 per slice.

* Baked potatoes costs $18.00 a case with 90 potatoes per case.

* Lettuce salad costs us $.80 per pound. We serve a 6 oz. salad.

* The tomato and cucumber together cost $.07 total.

* Dressing costs $11.75 per gallon. Our recipes call for 1 1/2 ounces of dressing per salad.

* The butter for the baked potato coast $.10.

* The sour cream costs $.08.

* The garnish costs $.05



1. How many 8 ounce fillet will you will able to cut from the tenderloin?

2. Based on the fact that we want to serve an 8-ounce fillet (before the cooking), how much will each filet entrée cost us, including the bacon, salad, baked potato, butter, sour cream and garnish?

3. If the manger tells you that he wants to sell the entrée at a 30% of the food cost, how much will you have to sell that fillet for to achieve that goal?

Thank you.

Attached file(s):

13598 Q MISC.JPG  View File