The Food Item Contribution Margin calculator computes the Food Item Contribution Margin based on the food item selling price (SP) and cost (FC).
INSTRUCTIONS: Choose the preferred currency units and enter the following:
(IFC) This is the cost of the food item.
(SP) This is the selling price of the food item.
Food Item Contribution Margin: The calculator returns the margin in U.S. dollars. However, this can be automatically converted to other currencies via the pull-down menu.
Resource:
Dopson, Lea R., and David K. Hayes. Managerial Accounting for the Hospitality Industry. Hoboken, NJ: Wiley, 2009. Print.