Quote:
Originally Posted by redforever
It mentions in the story that she was charging $40 for a dozen muffins.
At those rates, she should not be seeing a loss at all, even at a 75% discounted rate. You can make a dozen muffins for less than $5 and that is with some pretty expensive ingredients like fruit and nuts.
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You still have to count your labor, rent, other fixed expenses, etc. Your food cost alone is generally 22% - 28% IMO.