What's the difference between the actual cost and the potential cost in the food and beverage industry ?

Question added by Hamdy Alwakeel , Cost control manager , T.H.M Group for trading and projects
Date Posted: 2014/09/26

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by Hamdy Alwakeel , Cost control manager , T.H.M Group for trading and projects

The Potential Cost Is : the cost of goods sold as it should be , and that means the cost of the recipe approved.

The Actual Cost Is : the cost of goods sold as it done , and it can be calculated as following :

Opening Inventory+Direct purchases+Transfers In-Transfers Out-Spoilage-Staff Meals

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