Microsoft Office Tutorials and References
In Depth Information
Using PI to Calculate Cake or Pizza Pricing
Using PPI to Calculate Cake or Pizza Pricing
to Calculate Cake or Pizza Pricing
How many more ingredients are in a 16-inch pizza than an 8-inch pizza? Be
careful — it is not double!
The formula for the area of a circle is π × r2. The radius of a circle is
half the diameter. The function =PI() returns the constant for pi. You use
=PI()*(B7/2)^2 to calculate the number of square inches in a 16-inch pizza.
As shown in Figure 11.25 , the 16-inch size contains nearly four times the area
of an 8-inch circle.
Figure 11.25. Most pizza shops don ’ t have a dedicated cost accountant.
Most pizza shops don ’ t have a dedicated cost accountant.
If your company makes anything round — drink coasters, drum heads, wedding
cakes, pizzas, tires, or Frisbees — you want to use =PI() when calculating
your product cost.