How the menu price is calculated
Menu price = plate cost ÷ target food cost %. A plate that costs $4.20 at a 30% target sells for $14.00.
After rounding, the calculator shows your real food cost at the rounded price and the contribution margin: what is left from each plate to pay for labor, rent and profit.
Percentage or dollars?
Use the percentage to set a starting price, then check the margin in dollars. A dish with a higher food cost % can still bring in more money per plate.