The formula to calculate the Food Profit Margin (FPM) is:
\[ FPM = \left( \frac{FSP - FC}{FSP} \right) \times 100 \]
Where:
Let's say the food sell price (FSP) is $20 and the food cost (FC) is $8. Using the formula:
\[ FPM = \left( \frac{20 - 8}{20} \right) \times 100 \]
We get:
\[ FPM = \left( \frac{12}{20} \right) \times 100 = 60\% \]
So, the food profit margin is 60%.
Definition: Profit margin for food measures the profitability of food products by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{2000}{10000} \times 100 \)
Definition: This calculator helps determine the profit margin for a restaurant by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{5000}{25000} \times 100 \)
Definition: Profit margin in the food business measures the profitability by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{3000}{15000} \times 100 \)
Definition: Restaurant profit margin is calculated by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{4000}{20000} \times 100 \)
Definition: Profit margin for the food industry measures the profitability by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{6000}{30000} \times 100 \)
Definition: Profit margin is calculated by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{7000}{35000} \times 100 \)
Definition: Profit margin for a bakery is calculated by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{8000}{40000} \times 100 \)
Definition: This calculator helps determine the profit margin for soup by comparing net profit to revenue.
Formula: \( \text{Profit Margin} = \frac{\text{Net Profit}}{\text{Revenue}} \times 100 \)
Example: \( \text{Profit Margin} = \frac{9000}{45000} \times 100 \)