What is one key difference between food cost percentage and food cost per plate?

The reason B is the correct choice lies in the fundamental definitions and applications of food cost percentage and food cost per plate within the restaurant and food service industry.

Food cost percentage is a calculation that expresses the cost of food in relation to the total sales generated by that food. It is typically calculated by taking the total food costs and dividing it by the total sales, then multiplying by 100 to get a percentage. This metric is essential for understanding how efficiently a restaurant is managing its food costs in relation to its revenue.

On the other hand, food cost per plate focuses specifically on the cost incurred for preparing a single plate of food. It involves summing up all the ingredients used in one dish and any related costs, giving a concrete dollar amount per plate. This measure is vital for pricing menu items effectively, ensuring that each dish is profitable based on its preparation cost.

Understanding this distinction is crucial for restaurant management, as both metrics serve different purposes: one evaluates the overall efficiency of food cost management relative to sales, while the other provides insight into the profitability of individual dishes.