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L-2.2 Ch. 10 Labor Cost

Horizontales
The amount of sales an operation is doing for a given time period.
A cost that will change based on the amount of sales at the restaurant or foodservice operation.
The specifications of an operation with regard to products. If an employee does not prepare a product that meets the operation’s standards, the employee must redo that item, which costs money— not only in terms of wasted product that increases food costs, but also in terms of productivity and increasing labor costs.
The number of employees hired to fill one position in a year’s time.
Verticales
A cost made up of both fixed (unchanging) and variable (changing) cost elements. Labor is an example of a semivariable cost.
The specifications of the operation with regard to products and service.
A template, usually a spreadsheet, showing the number of people needed in each position to run the restaurant or foodservice operation for a given time period.
A chart that shows employees’ names and the days and times they are to work.