Sales Items - FAQs

Overview:

A Sales Item is a Recipe Item that is flagged as being sold. In the add/edit a Recipe Item function (Recipes & Sales>Setup>Recipe Items), there is a field on the Recipe Item definitions screen that can be check-marked if the recipe is for an item that you sell. An example is shown below:

Things to know

• When a Recipe Item is flagged as being sold it is also referred to as a Sales Item in COGS-Well. 
• When a Recipe Item is flagged as being sold, the fields for Sales Price, Theoretical Cost, and Target Cost appear. Once you enter a Sales Price, a Target Cost %, and the Ingredients in the recipe, all fields will populate. Please note that a Target % entry is required for the Menu Contribution Report.
• Target Cost % is the cost percentage (recipe cost divided by Sales Price) that you want to achieve. In the above example, 25% is entered. 
• Target Price is what you need as a Sales Price in order to achieve your Target Cost %. 
• Theoretical Cost is what the Sales Item is currently costing you to prepare based on the most recent ingredient prices. 
• Theoretical Cost % is the Theoretical Cost divided by the Sales Price. 
• The Sales Item fields can be used for "Menu Modeling".  You can change ingredients or ingredient portions to see the impacts.  Or, you can try different Sales Prices and see the impact on Cost %.  Or, you can change the Target Cost % and see what you should use as a Sales Price (the Target Price). 
• The Sales Mix (PMIX) which is the quantity of a Sales Item that has been sold can be imported from your Point of Sale system. Importing the Sales Mix facilitates all theoretical cost of sales, Menu Engineering, theoretical usage, and theoretical to actual variance reporting in COGS-Well.
• A Sales Mix that has been imported from your POS can be reviewed or edited via the Enter Sales Counts function (Recipes & Sales>Enter Sales Counts). Enter the date for the day you want to review or edit. 
• When a new Sales Item (one not already in the COGS-Well database) is imported from your POS, it will be automatically added to your database.  You will be notified of these new items on the COGS-Well Dashboard so that the new item's setup definitions can be completed. 
• For more information on Recipe & Sales Items, please use this link: Recipe Items.