PRINCIPLES OF FOOD, BEVERAGE, AND LABOR COST CONTROLS

608 � GLOSSARY
Direct compensation Salaries, wages, tips, bonuses, and commissions.
Directly variable cost A cost that varies directly with sales volume, such that
every change in sales volume brings a corresponding change in that cost.
D i re c t m onitor i n g D i re c t o b s er vat i on o f emp loye e p er for m anc e at work,
or direct examination of the results of employee work.
D i re c t p u rcha s e s S e e directs .
D i re c t s Tho s e fo o d s (ty pi c a l ly p er i shabl e s) c ha rg e d to c o st on t he d ay t hey
are received.
D i st i l l at i on A process by which alcohol is evaporated from a fermented
liquid and then condensed and collected as a liquid.
D og A term used in menu engineering to describe a menu item for which
both contribution margin and sales volume are judged to be low.
Dram shop laws State statutes that hold the serving establishment and the
server financially liable for damages to third parties resulting from the serving
of alcoholic beverages to intoxicated customers.
D up e An abbre vi at i on o f t he t er m duplicate .
D up e sy st em A sy st em for re c ord i n g c u sto mer s ’ ord er s t hat provi d e s for
two copies of each order, one on a guest check for the customer and
the other on a dupe used by the server to place the order in the kitchen.
Additional uses of the dupe are possible.
Extending a requisition A two - st e p p ro c e ss for d e t er minin g t he to t a l
value of all items listed on a given requisition. The first step is to multiply
the quantity of each item listed by its unit price to determine a total
value of the quantity issued. The second step is to add these individual
totals to determine a grand total for the requisition.
Fermentation A natural chemical process by which sugars in a liquid are
converted to ethyl alcohol and carbon dioxide.
First - in, first - out method A m e t h o d f o r d e t e r m i n i n g t h e va l u e o f a
physical inventory, based on the assumption that units are used in the
order of purchase, such that those remaining in the physical inventory
are the units most recently purchased. The values of these units can
then be determined from recent invoices or other records of recent
purchases.
Fixe d c o st A cost that is normally unaffected by changes in sales volume;
a fixed cost does not increase or decrease significantly as business
volume changes and thus is said to have little direct relationship to
the volume of business.
Fixed - cost personnel Those employees whose numbers do not normally
change because of increases and decreases in the volume of