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Calculating the Food Cost in Restaurants & Bakeries ...

How to calculate food cost for better economics & Smooth functioning of your outlet ???

Since time immortal new entrepreneurs entering the food industry wonder as to how the food cost can be calculated with a simple calculation, without depending too much on the chefs and managers. 'A good running outlet doesn't necessarily mean a well-doing outlet '. The profit lies somewhere between smart purchasing and even smarter food cost controls.

Qtronic Equipments a company dealing in commercial kitchens & bakery equipment has been guiding its existing clients, and clients to be with fair business practices without getting into the unnecessary red-tapism associated with the industry. For your better understanding, we bring to you a relatively simple but still unheard of formula to calculate your food outlets running food costs. Give it a try... if still, you have any queries please visit us at to know more, or write to us at

To calculate actual food cost, complete the following equation:

Food Cost % = (Beginning Inventory + Purchases – Ending Inventory) ÷ Food Sales.

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