Question

In menu engineering for food and beverage (F&B) product pricing, the classification of each menu item is evaluated on the basis of its:

Contribution margin and sales mix.

Contribution margin and food cost percentage.

Menu mix and food cost percentage.

Contribution margin and profitability index.

Answer 1

Answer: Option a) Contribution margin and Sales mix.

Explanation:

In menu engineering for food and beverage (F&B) product pricing, the classification of each menu item is evaluated on the basis of its:

Contribution marging and Sales mix

Contribution margin represents the portion of sales revenue that is not consumed by variable contributes to the coverage of fixed costs.

The contribution margin is calculated variable costs subtracted from the sales revenue and get the contribution margin.

In engineering for food and beverage menu consists various varieties of sales are mixed and the company is sued for sales mix contribution margin.

Therefor, In menu engineering for food and beverage (F&B) product pricing, the classification of each menu item is evaluated on the basis of its Contribution margin and sales mix.

Thus Option a) is correct and remaining options are incorrect.