Blake M.

asked • 03/23/19

What is a Formula to Use to Determine Cost of a Wasted Product?

Hi there! I am learning from modules at my new workplace, and a question about determining a cost has been running through my mind. I can never seem to find how to correlate the information. If there is a particular formula that I could use to help determine a value, I would feel much more comfortable!

The question I am met with is:

“True or false? A cafe pays $20 per/kg for their house blend and they use 22 g of espresso to produce a double shot. The baristas accidentally use 2 g of coffee extra every time they produce an espresso for a whole year? That means after a year of making 400 coffees per day, you could generate a coffee bill over $5000 higher than it should be.”

I know the answer is ‘true,’ but what is the math involved to figure this out?

1 Expert Answer


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