budgeting ch 9

directs

charged to food cost as received

stores

added to inventory, charged when issued

transfers

determined by a daily basis, promotion, employee meals, steward, alcohol from bar to kitchen

opening inventory

dollar value of all the food on hand at beginning

purchases

sum cost of all food purchased during accounting period

total avaiable

the

closing inventory

dollar value of all food on hand at the end of account period

cost of food consumed

dollar value of all food used, or consumed, by the operation

employee meal cost

labor, not food cost

ending inventory

this at the end of one accounting period becomes the beginning inventory figure for the next

daily reports

shows food costs, food sales, food cost percent for specifci day

food cost today and to date

any one day, not accurate by itself, more direct then stores, higher on specific days and lower on others

food cost percent to date

supposed to fix the problems from food cost today, cumulative food cost percent for the period

book inventory

determine what value of closing inventory should be, based on purchases and issues, compare with actual

reasons for unequal book and actual

occasional human error, using most recent purchase price instead of actual, mismarking of price

book determines value of closing

true

basic compontents of daily food cost

direct purchases and store issues