In order to effectively control the production cost and improve the gross profit level, catering enterprises must first master the correct gross profit accounting method, and separate the operating and management expenses from the production cost and reasonably collect them, which is the premise of improving the gross profit.

The calculation formula of gross profit margin of catering industry is:

Gross profit margin of catering industry = (operating income-raw material cost)/operating income× 111%;

cost of ingredients and raw materials = (total bill amount-amount of drinks) × comprehensive cost rate of kitchen;

comprehensive cost rate of kitchen = cost of ingredients and raw materials/operating income × 111%;

It should be noted here that the correct gross profit margin of catering will be affected by many factors, such as returning food, discounting, free of charge, coupon rebate promotion, etc., which is quite different from the theoretical gross profit margin and is not comparable.