bumidan on 16 June 2008
I Perdict, tell me if this is correct:
Pizza - $5.00
Less:
Food & Paper (40%) - 2.00
Cheese (22%) - 1.10
Labor (27%) - 1.35
Gross Margin = $0.55 cents
IF THIS IS CORRECT, (a) the pizza industry is terrible :)
In this case, it won't make sense to obviously offer a free pop with just 1 pizza. But maybe if they Buy 2 or 3 pizza, your margin goes from $1.10 or $1.65. In this case, you will have enough gross margin to maybe give them a FREE POP.
