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1) Calculate the food cost and contribution margin of 5 menu items in your assigned menu category. The menu item categories will be assigned using the last digit of your student number. Use the following chart to figure out which menu item category you have been assigned. The menu can be found at the end of this document. The food cost percentage for each item is listed in RED.
Last Digit of Your Student Number
Assigned Menu Item Category
8 or 9
Appetizers
6 or 7
Chilled Seafood
4 or 5
Classic Steakhouse
2 or 3
Signature Dishes
0 or 1
Side Dishes
2) Locate the 'Lobster Tail' and 'Seared Scallops' menu items in the add- on section of the menu.
a) Suppose the Lobster Tail has a food cost % of 50%, and the seared scallops has a food cost of 30%, which of these items would you prefer to sell more of? Prove you answer mathematically.
b) Evaluate the positioning of both items on the menu? Is there anything you would change about where/how these items are listed?
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