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What is prime cost in restaurant accounting?
Prime cost in restaurant accounting is the sum of labor+food costs
What are prime cost?
Prime Costs: Prime costs are those costs which are prime importance for making any product and include: Prime Cost = Direct Material + Direct Labor
What is the Difference between prime cost and overhead cost?
Prime cost is the cost of materials and labor involved in production of a commodity, excluding fixed costs. Overhead cost is the cost of on-going expenses, such as rent, utilities, and insurance. Overhead costs are one of the major factors in determining how a company charges for its service or product.
Is indirect labor a prime cost?
Indirect labor is that kind of labor which is not directly involved in making of unit of product that's why it is not a direct labor and that's why it is not prime cost of unit of product and that's why it is shown in overheads
Cost to build a small restaurant?
The cost to build a restaurant has many variables. It depends on the location, the contractor used and the cost of supplies.
Differntiate between prime cost and factory cost?
Prime cost is a subset of Factory cost. Prime cost consist of Direct material, Direct labour and Direct expenses. Factory cost = Prime cost + Production OH
"What restaurant has a good prime rib in Oklahoma City, OK"?
Nonna's Restaurant has some of the best prime rib I've ever tasted. "The Kona Ranch is a unique steak restaurant. Their prime rib is ""island"" style, so it's very unique. I really like it."
Is variable overheads include in prime cost?
Direct labor and direct materials are the components of prime cost so no other cost is part of prime cost and hence variable overheads also not included in prime cost.
What is the formula to calculate prime costs?
Formula for Prime Cost = Material Cost + Labor Cost
Is the direct expense part of prime cost?
yes it is part of the prime cost
What is Prime Margin?
Sales minus Prime cost = Prime Margines. Direct material and direct labor are often referred to as prime cost.
Is indirect cost a prime cost?
No
