When to use this calculator
Determine the total revenue required before dividing by saleable portions to choose a per-item price.
Explore the kitchen costs calculators for other questions in this topic. For a related calculation, use the Coffee Bag Supply Calculator: Estimate how long a coffee bag lasts at a selected daily drink rate.
PUTTING IT INTO PRACTICE
Batch Selling Price: a worked example
The values below are an illustrative example, not a recommendation. Replace them with measurements or assumptions that match your question.
| Input | Example value |
|---|---|
| Total batch cost | 60 |
| Target gross margin (%) | 40 |
| Result | 100 currency units |
- Check the input labels and enter the example values above.
- Apply the relationship: Required batch revenue = batch cost/(1 − margin/100).
- The result is 100 currency units, rounded for display.
How to interpret your result
Include all costs you want the gross-margin model to recover; revenue is not net profit.
Decide whether costs include waste, labour, utilities and tax before comparing results. Food cost percentage uses selling price as its base, whereas a markup uses cost. Unsaleable portions can raise cost per saleable serving.
Frequently asked questions
Does ingredient cost per serving include labour?
Only if labour is included in the cost you enter. The tool cannot infer unentered overhead or preparation costs.
When is the batch selling price calculator useful?
Determine the total revenue required before dividing by saleable portions to choose a per-item price.
How do I use the batch selling price calculator?
Enter total batch cost, target gross margin (%). The result updates automatically. Use the units shown beside each input; the example values illustrate the method.
Which formula does this calculator use?
Required batch revenue = batch cost/(1 − margin/100).
What should I check before using the result?
Include all costs you want the gross-margin model to recover; revenue is not net profit.
How are results rounded?
Scalar numbers display up to six decimal places, with scientific notation for very large or small values. Text, fraction, date and schedule outputs use the format described on the tool. Intermediate calculations use JavaScript floating-point arithmetic. Keep sensible precision for your measurements.
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