ECONOMICS (CBSE/UGC NET)

ECONOMICS

BUDGETING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Cost of catering based on number of participants will be consideredas ____ cost.
A
direct
B
fixed
C
variable
D
joint
Explanation: 

Detailed explanation-1: -Variable costs can include direct labour, ingredient/seed/feed costs, equipment repairs, fuel costs for distribution, marketing expenses and other costs. Fixed Costs. Fixed costs are consistent costs (overhead) that do not change from month to month. These costs occur no matter how much is produced.

Detailed explanation-2: -An Introduction to Restaurant Operating Costs Fixed costs are costs that largely stay the same month-to-month because they are not tied to sales. Rent falls under the category of a fixed cost. Variable costs change according to output, which means they are less predictable and harder to budget for.

Detailed explanation-3: -These variables that play a major part in processing operations include quality, quantity, expiration and cost.

Detailed explanation-4: -Calculate what it costs for you to make a dish (a.k.a. Total Cost of Dish). Find out Price of Dish to Customer. Divide Total Cost of Dish Per Serving by Price of Dish to Customer. Multiply your answer by 100 to find out your Food Cost Percentage Per Dish.

There is 1 question to complete.