Wine Spirits Employee Meals Transfers from Bar Beer Wine Spirits Transfers to Bar Beginning Inventory 5,800.00 4,500.00 Food Beer Wine Spirits Ending Inventory Food Beer Wine Spirits Purchases Food Beer Wine Spirits 45,000 51,000 3,500 = 125.00 1,800.00 425.00 = 960.00 Beginnin 9 Inventor Purchase s Employe e Meals Transfe rs from Bar Transfe rs to Bar Cost of Goods Sold Cos t% Food ? 2 Beer Wine Spirits sulevey ? 2 2 Total Bever ageCOMPUTING COST OF BEVERAGE With one key exception, the accurate computation of beverage cost percentage is equal to that of food cost percentage. Employee meals have no comparable because the intake of alcoholic beverage items by working workers should be strictly restricted. As a result, “employee drinks" would never be considered a cost-cutting measure. Example: Operating Data Rio Lobo's Beverage sales = 100,000.00 Beginning Inventory = 24,405.00 Ending Inventory = 18,741.25 Purchases = 21,086.40 Transfers to bar = 2,140.00 Transfer frombar =~ (0.00 Note: The beginning inventory for this accounting period Is the ending inventory figure trom the prior accounting period. fccounting Period: 47 te 2 nat ne Ho Lie’s Fegining Zwertory $4,405.00 rus Forchoses aman eds Woilsble for Sele 46,391.40 less {nding Irvostony 16,761.25 ie 0.15 ns tot af Beverage Sole SPECIAL FEATURES OF LIQUOR INVENTORY It's offen more difficult to determine beginning and ending inventory levels for beverage goods than itis for food. For inventory purposes, food items can usually be weighed, counted, or measured. If you wish, you can use any of these strategies to keep track of your liquor inventory. Unopened beer, wine, and spirit containers can be tallied. Containers that have been opened must be valued as well. The process of valuing these unsealed containers will be the most difficult for you. To achieve this purpose, three inventory procedures are widely used. They are:Spirits Storage Spirits may be stored for several years at common dry storage temperatures between 5°F and 70°F (10°C and 21°C), Bottles should be stored upright with their labels facing out for ease of taking inventory. Spirits storage areas should be kept clean and secure. Other Product Storage In addition to dry storage areas for bar supplies such as extra glassware, carbonated beverages, napkins, straws and the like, bars most often will require additional refrigerator and freezer storage areas. Storage for refrigerated items must include adequate space for fruit and vegetables for gamishes, mixers, and dairy products such as milk and cream. Freezer storage Is needed for ice creams and sherbets as well as some concentrated drink mixes BAR TRANSFER While alcoholic beverages account for the vast bulk of product costs in bar operations, you must also keep track of the costs of items used in the preparation and service of beverage goods. In the case of wine and beer, there are no modifications to the beverage prior to serving, hence there are ‘no additional product expenditures, Transfer RecordRECEIVING BEVERAGE PRODUCTS The skill required to receive beverage products is somewhat less than what is needed for receiving food. Proper delivery schedules must be maintained. If the product is fresh dated, that is, a date is stamped on the product to indicate its freshness, very little Inspection is required to ensure that the product is exactly what was ordered. When matching the purchase order to the vendor invoice, only the quantity ordered, and price must be verified: Key Beverage Receiving Checkpoints Correct Brand Correct bottle size No broken battles or bottle seals Freshness dates (beer) Correct vintage, or year produced (wine) Refrigerated state (if appropriate) Correct unit price Correct price extension Correct invoice total © aoroghens If errors are detected, a credit memo should be filled out and signed by both the delivery person and the recelving clerk. Credit Memo A credit memo is a commercial decument issued by a supplier to the customer notifying the reduction of the amount that a customer owes to the seller. If itis a cash sale, it implies the amount of benefit that the supplier owes to the customer. A credit memo Is called Credit Memorandum and mere popularly known as ‘Credit Note’. A credit memo is an addendum to the delivery invoice. The purpose of CM Is to correct any differences between the purchase arder prepared by the foodservice establishment and the delivery slip or invoice that is signed at the time the ordered goods are delivered Gneration nepresentatise! fA TRTaaaCOMPUTING COST OF BEVERAGE With one key exception, the accurate computation of beverage cost percentage is equal to that of food cost percentage, Employee meals have no comparable because the intake of alcoholic beverage items by working workers should be strictly restricted, As a result, "employee drinks" would never be considered a cost-cutting measure. Example: Operating Data Rlo Lobo's Beverage sales = 100,000.00 Beginning Inventory = 24,405.00 Ending Inventoy = 18,741.25 Purchases = 21,986.40 Transfers to bar = 2,140.00 Transfer from bar = 0.00 Note: The beginning Inventory for this accounting period Is the ending inventory figure from the prior accounting period, fccounting Period, 1/1 Une Hone io to's BegianiogTivetory $24,405.00 rus Foreteses 086.40 Seeds Wella for Sele 45,391.40 less nding Ivortory s0741.25 rl 80.15 Tronsere fron Bar * 80.15 nus TWonaters te ber 2,140.00 lost of tevaroge Sole SPECIAL FEATURES OF LIQUOR INVENTORY It's often more difficult to determine beginning and ending inventory levels for beverage goods than Its for food. For inventory purposes, food items can usually be weighed, counted, or measured. If you wish, you can use any of these strategies to keep track of your liquor inventory. Unopened beer, wine, and spirit containers can be tallied. Containers that have been opened must be valued as well. The process of valuing these unsealed containers will be the most difficult for you. To achieve this purpose, three inventory procedures are widely used. They are: