How the menu item contribution & mix calculator works
Contribution per portion is selling price less entered variable portion cost. Multiply by each item's observed portions and add; subtract the entered period fixed cost for a limited period profit. Revenue and total contribution round to cents.
Average contribution weights the observed total portions. Negative item contribution and period profit stay negative. Include ingredients, packaging, transaction fees and variable labor consistently and only once.
No popularity threshold, menu-engineering category, demand substitution or causal impact of promotion is inferred. This limited two-item statement is not complete restaurant net profit; fixed cost remains at zero sales.
Worked example
A sells 100 portions at $20 with $8 variable cost; B sells 200 at $15 with $5 variable cost. Total contribution is $3,200 and profit after $2,000 fixed cost is $1,200. Selling 200 A portions instead gives $2,400 profit.
Sources and assumptions
The source material explains the underlying calculation or pricing structure. Entered prices, costs, schedules and scenario choices are your assumptions; this tool does not obtain supplier quotes or predict actual results.
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