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Recipe costing is the process of calculating the total cost of every ingredient in a dish or drink, accounting for quantities used, yield loss, and house-made prep components. It reveals the true cost of production — not the estimate.
Accurate recipe costing requires three layers of calculation. First, the raw ingredient cost (what you paid per unit). Second, the yield-adjusted cost (a case of limes at $30 yields X ounces of juice — your cost per ounce is higher than the per-lime price). Third, house-made prep costs (your simple syrup costs more than sugar + water because of labor and yield loss).
Most bars skip layers two and three. They cost recipes using purchase prices, not actual usable-product prices. This means every pour cost calculation in the building is wrong — typically by 15-30%.
methodus handles all three layers. Enter your ingredient purchase prices, set your yield percentages, cost your house-made preps from their component ingredients, and methodus cascades the true cost through every recipe that uses them. Change a supplier price and every affected spec updates automatically.
As Purchased vs Edible Portion — the cost difference between what you buy and what you use.
Syrups, infusions, and mixes made in-house rather than purchased.
The percentage of revenue spent on drink ingredients.
Measuring usable product after prep loss and waste.
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