Savings will vary depending on the selling price of finished product. For

example we will examine ground beef with specification of 15% fat

and actual finished product of 12% fat. We will assume finished

product selling price of $2.20/Lb. at fat value of $0.30/Lb. for a sales

volume of 5,000 Lbs./Week or 250,000 Lbs./Year:

 

Annual Volume x (% Deviation Below target)

x       (selling price per lb. – Fat value per lb.) /

Increased profit

 

250,000 Lbs. / Year x (3%)

x ($ 1.90 / Lb.)


$14,250.00 PER YEAR

 

Fat Tester Cost Saving Calculator

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