Module 8

Question 1

What is the main tool for determining order needs?

Answer 1

The Menu

Question 2

What determines the ordering needs other than the menu?

Fill in the blanks

1) ____________ recipes
2) current i________
3) Level of p__________ required
4) Coorination of efforts between d______________

Answer 2

1) standardized
2) inventory
3) preparation
4) departments

Question 3

Define this term.

Art or science of estimating future events.

Hint: Think weather

Answer 3

forecasting

Question 4

Forecasting is based on two guides which includes….

Answer 4

1) Historical Records: written accounts of previous events
(sales record, census sheet, etc)
2) Forecasting models: – mathematical formula to predict
future needs.

Question 5

Define the following two terms.

1)written accounts of previous events
(sales record, census sheet, etc)
2) mathematical formula to predict
future needs.

Answer 5

1) Historical records

2) Forecasting models

Question 6

Define this term

a method of determining the popularity of a menu item

Hint:
• Focuses on:
• # sold (% or #)
• Contribution margin ($)
• # item sold x 100 = % sold
• Total # sold

Answer 6

A. Popularity Index

Question 7

Stae of Refinement

Define the following…

1) AS
2) AP
3) EP
4) W
5) W%

Answer 7

1) As served
2) As purchased
3) Edible portion
4) Waste
5) Waste percentage

Question 8

State of refinement

All food begins with ______?

Answer 8

A. As purchased

Question 9

State of Refinement

Define the following term…
• The amount you buy.
• The amount of raw material one begins with.
• It is 100% of the raw amount received.

Answer 9

As purchased

Question 10

Sate of refinement

Define this term
• Usually smaller than AP because of trimming, cleaning,
cooking, and portioning losses.

Answer 10

A. As served

Question 11

State of refinement

Define this term
Usually smaller than AS because of unedible parts (i.e., seeds,
bones, and fat)

Answer 11

A. Edible Portion

Question 12

State of Refinement

Define this term
• Always some part of AP
• Amount of AP lost to obtain AS or EP

Answer 12

A. Waste

Question 13

State of refinement

Define this term
• Amount of waste expressed as a percentage of AP
• W% = (W÷AP) x 100

Answer 13

A. W%

Question 14

Whats the goal of any organization that creates and sells a product.service?

Answer 14

A. To remain in business and make a profit

Question 15

Define this term

what you pay for the item as purchased from the supplier
(AP cost). How much a dish (or plate of food) cost to produce, in terms of what
the products cost.

Answer 15

Product (Food) cost

Question 16

Define this term

what you charge a customer for the product. The price of
something which is sold.
– Reflects a portion of profit and covers all costs.
– Established to take advantage of market demand.

Answer 16

Selling price

Question 17

Define this term

desired portion of Selling Price that is assigned to food cost. Food
cost as a percentage of sales (or selling price).

Answer 17

Food Cost %

Question 18

Define this term

Maximize selling Price and Minimize FC%

Answer 18

Ideal

Question 19

What are the 4 primary factors that influence prices charged by vendor/supplier

Answer 19

1) Prices reflect supplier cost
2) Prices reflect consumer demand
3) Prices reflect service features
4) Prices reflect vendor quality

Question 20

Define this term

customer’s opinion of a products value to

him or her

Answer 20

A. Value Perception

Question 21

Define this term

not seller that determines (influences) selling price.

Answer 21

A. Buyer

Question 22

Fill in the blank

3 possible outcomes of negotiation

1) Mutally acceptable ________ or _________ is reached (win-win)
2) Both parties ______ to compromise, resulting in “agree to disagree” (win-lose)
3) Negotiation is unsuccessful when an understanding that there will be more negotiation in the _______ (impass)

Answer 22

1) agreement or compromise
2) fail
3) future

Question 23

Define this term

Hint a type of pricing discount….

Price reduction offered after a purchase is made in the normal
selling price.
• Also called “cash back”
• Given by manufacturer, not seller.

Answer 23

A. Rebates

Question 24

Fill in the blank

Selling Price: Established based on a mathematical calculation and desired _______

Answer 24

A. FC%

Question 25

Fill in the blank

Menu Price: Established on what the _______ (customer) will bear

Answer 25

A. Market