INGREDIENTS UNIT QUANTITY UNIT COST TOTAL

AMOUNT
Sweet Potato Piece 4 P3.00 P12.00

Grounded Beef Kilo ¼ P75.00 P75.00

Tomato Piece 3 P5.00 P15.00

Cucumber Piece 1 P5.00 P5.00

Mayonnaise Large pack 1 P20.00 P20.00

Ketchup Large Pack 1 P20.00 P20.00

Salt Pack 1 P5.00 P5.00

Melted Cheese Medium Pack 1 P25.00 P25.00

Vegetable Oil Bottle 1 P75.00 P75.00

Chili Pepper Piece 3 P1.00 P3.00

Total P234.00 P255.00

The total selling price of our La Nachomote is 50Php. The cost of ingredients totalled
255Php (see table above) and we added overheads (labor cost and other expenses such as
electricity in making the product) equalled to 280Php making the total cost of making the
product to 535Php and is expected to produce 15 units of La Nachomote. To compute the
selling price: Total Cost/ Units = Cost per unit P535 / 15 units = P35.67 per unit Cost per
unit * (1+ mark up) = Selling price P35.67 * ( 1+ 40%) = P49. 938 or P50. The customer
can either choose to have an ordinary La Nachomote or level it up to a Spicy Nachomote
for and additional 10Php. Our competitors' prices range from 94Php to 200Php compared
to our price which is only 50Php makes our product more affordable than our
competitors. In cases of having promos to increase sales, we can lower our price up to
10% off while still gaining a profit of 9.33Php for every sale. We chose the 40% mark up
so that in times of promos and sales, the reduction to the selling price can still provide us
a profit to keep the business going and making the price still affordable to the people.