The Metro restaurant during fiscal year 2017 spent a total of $ 333,512.02 on food purchases...

The Metro restaurant during fiscal year 2017 spent a total of $ 333,512.02 on food purchases for its operation and obtained $ 1,239,453.22 in total sales for the same period, of which $ 987,398.32 were on food sales and $ 252,054.90 on beverage sales. How much is the percentage of food cost ?:

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Expert Solution

Total spent on purchase =$ 333,512.02

Food Sales =$ 987,398.32, Beverage sales= $ 252,054,90

Distribution of spent on purchases in the ratio of sales

Cost of food = [$333,512.02/($987,398.32 + $252,054.90)]* $987,398.32 = $ 265,686.67

Therefore % of food cost = Food cost /Total cost

= ($265,686.67/$333,512.02)* 100 = 79.66% = 80%(approx)

jeff jeffy answered 2 years ago

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