Selling Price Computation Guidelines
Example: Watermelon Lemon Made (1 serving)
- ½ cup of lemon juice - 2 cups of cups of water
- 1 tbsp honey - 1 cup of watermelon slices
- ½ cup ice cubes
Note: To find the yield, convert all the measurements into grams. Please use this following
measurement conversions:
½ cup = 118 g
1 cup= 237 g
1 tbsp= 15 g
Reference: https://recipeland.com/how-to/liquid-dry-measurement-conversi-325
Formula:
PortionCost =Unit price
Quantity of the product × Yield
Mark up cost= Total of portion cost
×
Mark up Percentage
Selling Price= Total of portion cost + Mark-up cost
Note: The ideal mark-up percentage is ranges from 20%-30% but if the profit earned is still low
you can increase it. In this example, I used 20% or 0.20.
Computation: This computation is according to the given example of watermelon lemonade
Ingredients Unit price/Quantity of the product Yield Portion Cost
Lemon Juice 15 php / 58 g 118 g 30.52
Water 10 php / 1000 g 711 g 7.11
Honey 135 php / 750 g 15 g 2.63
Watermelon 53 php / 440 g 128 g 15.42
Ice Cubes 20 php / 1000 g 118 g 2.36
Mark up Cost:
58.04
×
0.20= 11.608
Total: 58.04 or
58 (1 serving)
