Grade

7/8

TLE - HE
COOKERY
QUARTER 2 – MODULE 5

Calculate Cost of Production

 LEARNING OUTCOME 1

What Do You Need To Know?

How to Calculate Mark-up Percentage

Mark-up is the difference between how much an item costs you, and how
much you sell that item for--it's your profit per item. Any person working in business
or retail will find the skill of being able to calculate mark-up percentage very valuable.

Instructions

1. Calculate your peso mark-up. This is done by subtracting your buying price
from your selling price.
Example

Selling price - 15.00

Purchase cost/buying price - 10.00

Peso mark-up - 5.00

2. Decide whether you want to calculate your percentage mark-up based on cost or
selling price. Once you choose which you will be using to calculate, it is important
you stick to the method you choose throughout all your calculations, or you will end
up with faulty data. If you decide to calculate your percent mark-up based on cost, go
on to Step 3. If you decide to calculate your percent markup based on selling price,
go on to Step 4.

3. Calculate percent mark-up based on cost. This is done by dividing the peso
markup by the cost.

Example

Peso mark-up - 5.00

Purchase cost/buying price - ÷10.00

Percentage mark-up - .5 or 50%

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4. Calculate your percent mark-up based on selling price. This is done by dividing
the peso mark-up by the selling price.

Example

Peso mark-up - 5.00

Selling price - ÷15.00

Percentage mark-up - .33 or 33%

1. Make sure you consistently use either cost of the product or selling price to
find the percent mark-up on an item. Even though the cost, selling price, and
peso mark-up will always be the same, the percentage mark-up will be
drastically different depending on if you calculate it using selling price or cost.
Using selling price will give you a lower percentage mark-up (assuming you
are making a profit), while using cost will give you a higher percentage mark-
up.

REFERENCE:
Commercial Cooking K to 12 Basic Education Curriculum
Technology and Livelihood Education Learning Module

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 ACTIVITY

COMPLETE ME. Complete the table by computing for the peso

mark-up and the percentage mark-up of the given items.

Items Purchase Selling Peso Mark up Percentage

Cost Price Mark-up
Bibingka 10.00 15.00
Cup cake 7.00 10.00
Pulvoron 5.00 8.00
Chicaron 25.00 35.00
Yellow Corn 10.00 17.00
Diaper 46.00 55.00
Tinapa 35.00 40.00
Rice 54.00 67.00
Cellphone 1400.00 2000.00
Sardines 22.00 28.00

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 Key to Correction

SUBSTITUTE ME

Items Purchase Selling Peso Mark Percentage

Cost Price up Mark-up
/Buying
(Buying Price)
Price

Bibingka 10.00 15.00 5 0.5

Cup cake 7.00 10.00 3 0.42

Pulvoron 5.00 8.00 3 0.6

Chicaron 25.00 35.00 10 0.4

Yellow Corn 10.00 17.00 7 0.7

Diaper 46.00 55.00 9 0.20

Tinapa 35.00 40.00 5 0.14

Rice 54.00 67.00 13 0.24

Cellphone 1400.00 2000.00 600 0.43

Sardines 22.00 28.00 6 0.27

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 SUMMATIVE ASSESSMENT
Test I. Read the following questions carefully and choose the letter
that best describes the statement. Write your answer on a separate
sheet of paper.

1. It is the difference between how much an item costs you, and how much you sell that
item.
a. Markdown b. Debt c. Profit d. Selling price
2. This is what we get if we subtract your buying price from your selling price.
a. Percent Mark-up based on cost b. Peso Mark-up
c. Percent Mark-up based on selling price d. Capital
3. How do we compute for the Percentage Mark-up based on cost?
a. Divide the peso mark-up by the cost. b. Subtract peso mark-up by the selling price.
c. Subtract the peso mark-up by the cost. d. Divide peso mark-up by the selling price.
4. System where goods and services are exchanged for money.
a. Labor b. Goods c. Business d. Capital
5. Also called commercial math or consumer math with emphasis on computational skills
and its practical application for business.
a. Trigonometry b. Marketing c. Basic Math d. Business Math
6. Something owed usually money.
a. Debt b. Capital c. Cost d. Selling price
7. This is what we get if we divide the peso mark-up by the selling price.
a. Percent Mark-up based on cost b. Peso Mark-up
c. Percent Mark-up based on selling price d. Capital
8. Finances needed to sustain a business.
a. Labor b. Goods c. Profit d. Capital
9. Products or commodities sold by a business.
a. Labor b. Goods c. Profit d. Capital
10. Linda bought ube bread to sell. She bought it for Php 25.00 per pack. How much did
Linda sell each pack if she has a total of 100.00-peso mark-up for the ten pack of ube
bread?
a. 10.00 b. 350.00 c. 35.00 d. 30.00

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Test II. Solve the following problems carefully. Show your computations (5 pts).

1. Due to covid19 protection I bought 25 pieces of 250 ml. alcohol for 25.00 in the pharmacy
yesterday. I plan to sell each item with 12 percent mark-up in buying price. How much will be
the total:
a. peso mark-up
b. the selling price

Test III. Directions: Given the following recipe and its estimated cost, compute for the total
purchase cost and impose a 50% mark up to determine the selling price of your product.
Yield=24 servings

Item Unit cost Total Cost Peso Selling Price

mark-up per serving

2 K chicken 115.00/kilo

1 head of garlic 50.00/kilo ____________

20pcs/kilo

4 Tbsp 15.00/bottle ____________

soysauce
Approx. 32T

1 tsp ground 1.00/ small pack ____________

black pepper
½ t/pack

1/2 cup vinegar 12.00/bottle ____________

Approx.2 C/bottle

2 Tbsp cooking 40.00/bottle ____________

oil
Approx. 32T

TOTAL

Selling price per serving = Total cost + Peso mark-up

No. of yield

SP= _____