CCC Kitchen Financial Controls 2 — Questions and Answers
Question 1: A restaurant's beginning inventory is $8,000, purchases total $22,000, and ending inventory is $6,000. What is the cost of goods sold?
- $24,000 (Correct answer)
- $28,000
- $20,000
- $36,000
Correct answer: $24,000
COGS = beginning inventory ($8,000) + purchases ($22,000) − ending inventory ($6,000) = $24,000.
Question 2: A menu item sells for $18.00 and its plate cost is $5.94. What is its food cost percentage?
- 33% (Correct answer)
- 30%
- 25%
- 40%
Correct answer: 33%
Food cost percentage = cost ÷ selling price, so $5.94 ÷ $18.00 = 33%.
Question 3: Which practice most directly reduces food cost variance caused by over-portioning?
- Using standardized portion tools like scales and scoops (Correct answer)
- Increasing menu prices
- Ordering from a single vendor
- Extending inventory count intervals
Correct answer: Using standardized portion tools like scales and scoops
Standardized portioning tools ensure each plate uses the exact specified quantity, eliminating over-portioning waste.
Question 4: A whole beef tenderloin costs $110 and weighs 5 lb; after fabrication the usable yield is 4 lb. What is the cost per usable pound?
- $27.50 (Correct answer)
- $22.00
- $25.00
- $30.00
Correct answer: $27.50
Cost per usable pound = $110 ÷ 4 lb of usable yield = $27.50.
Question 5: Which statement best describes a fixed cost in a foodservice operation?
- It remains constant regardless of sales volume, like rent (Correct answer)
- It rises proportionally with covers served
- It only occurs during peak season
- It varies daily with commodity prices
Correct answer: It remains constant regardless of sales volume, like rent
Fixed costs such as rent or insurance stay the same regardless of how much business the operation does.
Question 6: The main purpose of comparing invoices against purchase orders and receiving reports is to:
- Verify the operation pays only for goods ordered and actually received (Correct answer)
- Speed up vendor payments
- Track employee productivity
- Determine menu pricing
Correct answer: Verify the operation pays only for goods ordered and actually received
This three-way match confirms quantities and prices billed match what was ordered and received before payment.
Question 7: A kitchen's standard food cost is 30% but actual food cost runs 35%. Which is the LEAST likely cause?
- Menu prices were raised across the board (Correct answer)
- Theft or pilferage of product
- Failure to follow standardized recipes
- Excessive trim waste during prep
Correct answer: Menu prices were raised across the board
Raising menu prices would lower, not raise, the food cost percentage, so it cannot explain the increase.
CCC Kitchen Financial Controls 2
A restaurant's beginning inventory is $8,000, purchases total $22,000, and ending inventory is $6,000.
What is the cost of goods sold?