It’s Pizza Time!!

Your team consists of the finest pizza makers in the greater Belfast Area. Your plans are to open a grade “A” pizzeria using the freshest ingredients from the Troy Howard Middle School Garden Company. Before opening your doors for business, your team needs to determine the cost of making your special pizza and what price you plan to sell the pies for to make a profit.

To start a new pizza business you need to answer three basic questions; 1) Who will buy my pizzas, 2) What type of pizzas will you serve, and 3) What ingredients do you need to buy?

The second part to operating a successful business is calculating the total cost of operating your business. This includes calculating the costs of purchased ingredients in order to determine retail value and profit margin of their product. Use the following information to complete the first steps for your pizza business.

Step 1: Assign jobs to your team members:

Leader –

Recorder –

Reader –

Buyer –

Encourager –

Step 2: Answer the following three questions.

1. Describe the type of people that will be buying your pizza?

2. What type of pizza will you be serving?

Example: Are your pizza unusual gourmet pizza?

Are you going to cook them in a brick oven?

3. What type of products or produce do you need to buy for your pizzas?

Business Name: _____________________ Type of pizza: ____________________

Use the chart below to determine the total ingredient cost of making your pizza.
Feel free to create a unique name to celebrate your creation!!

Total Cost of Ingredients:
Ingredients	Cost	Amount used	Total cost of Ingredient
Flour	$ .75 per cup
Cheese	$ 2.25 per cup
Yeast	$ .56 per package
Honey	$ .15 per teaspoon
Peppers	$ 1.25 per cup
Onions	$ .25 per cup
Broccoli	$ .35 per cup
Eggplant	$ .25 per slice
Squash	$ .15 per slice
Pepperoni	$ .05
Spinach/ Basil	$ .25 per tablespoon
Sauce	$ 1.50 per cup
Black Olives	$ .25 per tsp.
Mushrooms	$ .20 per tsp.
		Total Cost of Ingredients:

Labor costs: How long did it take to make the pizza? _______ * $7.00 = ____________

Total cost = _____________

Selling Price, Whole Pizza: __________ Profit: _______________

 (total cost * 2 =  selling price) (price – total cost = profit on pie)

Selling Price, Pizza Slice: __________ Profit: _______________

(selling price + 25% ÷ 8 = price per slice) (profit on pie – 25% ÷ 8 =profit on slice)

Remember that it costs more to serve pizza by the slice because of labor and storage costs.

1. What did you enjoy most about your Pizza?

2. What would you change to make your pizza a top seller? Could you cut your labor costs? How?

It’s Pizza Time!!

Background

Today businesses need to be aware of total cost to operating a successful business. This includes calculating the costs of purchased ingredients in order to determine retail value and profit margin of their product. Using the following pizza scenario, students will be introduced to basic business concepts.

Objective:

Students will determine the cost of a product, the retail value and profit needed to return their investment.

Vocabulary:

Profit

Retail

Time: 60 minutes

Materials:

Flour

Yeast

Olive oil

Mozzarella Cheese

Toppings ( onions, broccoli, peppers, etc..)

Pizza Pans

Procedure:

Part I (making the dough)

1. Divide the class into teams of 5-6 people. Each team member will assume a job. The jobs include: leader, recorder, reader, runner, and encourager.

2. Have the runner retrieve all the materials needed for making the dough (to save time you may want to have the stations set up ahead of time)

3. Review the instructions for making pizza dough. Students can begin the process. Wander around the room and assist students as needed.

4. The dough will need to rise for 1hr or until double in size.

Part II (Pizza Time)

1. Pass out to each team their “Pizza Time” sheet. Read introduction. Inform students there will be a cost to purchase topping for their pizza.

2. In their small teams students will brainstorm and determine the type of toppings they will use on their pizza. Remind students they are creating a unique top selling pizza for their pizzeria.

3. When the teams are ready, have each team approach to purchase their ingredients. Have one-person measure each ingredient needed. The recorder will write down ingredients purchased on the provided sheet.

4. Each team will determine the total cost of the ingredients used. Utilizing their figures teams will determine the cost of selling a whole pizza pie, selling individual slices and the profit of each selling item.

5. Students can promote their pizza. Tell the class why they should buy your pizza. Include a description of technique to make pizza, ingredients and the selling cost of the pie. Bon appetite!

Extension:

In small groups, students can develop a shopping list to purchase necessary ingredients to make a pizza. Plan a class trip to visit a local grocery store to purchase ingredients. Provide each team with a budget. Show students how to compare ingredients and the cost per unit item. Allow the teams to purchase their necessary items. Use a similar format for teams to determine cost of product, selling cost and profit.

Student can determine the nutritional value per serving of their team’s pizza and utilize the information as a selling point for their pizza.