Question: Please respond to two (2) other student's post whether you agree or not agree and why. 1.Ray Respond Prime Costs are the largest categories of

Please respond to two (2) other student's post whether you agree or not agree and why.

1.Ray Respond

Prime Costs are the largest categories of costs. There are two types of prime cost in a foodservice operation. The first cost is labor costs, the cost of paying employees for their hours of work, and the second cost is product purchases such as food and beverage costs. There are three types of labor costs. Wages, which is the money paid to employees on the basis of the number of hours they work. Salary, which is the money paid to an employee on a per week, month, or another basis that does not depend on the number on number of hours worked. & Benefits, which is the money paid indirectly in support of employees for purposes such as vacation, sick leave, and health insurance, and to meet governmental requirements. The second cost is product purchases such as food and beverage costs.

2.Za Respond :

PRIME COST is the largest category of operational cost, and it is the total cost of raw material plus labor cost.

Three different types of Labor Cost:

WAGES: Money paid to employees based on the number of hours they work.

SALARY: Money paid to employees on a per week, per month, or another basis that does not depend on the number of hours worked.

BENEFITS: Money paid indirectly in support of employees for purposes such as vacation, sick leave, and health insurance, and to meet governmental requirements.

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