Book 1AVAILABLE
The Choice Algorithm
Menu psychology and architecture: how guests choose, how a menu is put together and how a change to it is measured.
Menu Trilogy · Book 2 · Srđan Mihailović
THE CODEequation
Menu maths: food cost, standard recipes, pricing and stock — and exactly where the money goes.
191pages, PDF
10chapters, from the recipe card to the monthly reconciliation
20forms to print and to fill in on screen
6evidence grades, with every claim
The Menu Trilogy
Three books. One menu that works for you.
The first book explains how guests choose, the second what every dish really costs and earns, the third how software runs all of it for you. Each one also stands on its own.
1 · Guests chooseMenu psychology and architecture
2 · Numbers decideFood cost, standard recipes, pricing, stock
3 · Software runs itQR menu, allergens, till and kitchen
Book 2AVAILABLE
The Code Equation
Menu maths: the recipe card to the cent, yield, sub-recipes, portions, purchasing, pricing with VAT, drinks, stock and the monthly reconciliation.
- 191 pages · 20 forms · English edition
- also in Serbian: Jednačina koda
Book 3AVAILABLE
The AI Ecosystem
The menu in the digital world: QR menu, allergen matrix, till and kitchen screen as one system — with one source of truth, one order id and a human for every critical decision.
What makes it different
Every euro of the gap gets a name.
Inventory software shows how far actual cost is above the recipe cards, but not why. The Code Equation breaks the gap into branches — waste, deliveries, portions, purchasing, the bar, stock, staff meals — and for every claim says how well it has actually been measured, with its source. Where there is no evidence, it says so.
STRONGMODERATEWEAKMYTHUNRELIABLENOT VERIFIED— six grades, the same across the trilogy
“Food cost must be between 28 and 32%”, as a targetconsultants and blogs, no source; NRA, 2025MYTH
“Times three” and “times four” as a rule for every dishRestaurant Business; MarginEdge; Potts, 2015; Lightspeed, 2020; Tageskarte, 2026MYTH
The standard recipe (normativ) is a legal obligation in Serbia and Croatia, open to inspection by the guestZakon o ugostiteljstvu (Serbian Law on Hospitality), 17/2019; Zakon o ugostiteljskoj djelatnosti (Croatian Law on Hospitality Activity), Art. 10STRONG
Stock at the lower of cost and net realisable value; FIFO or weighted average; LIFO not permittedIFRS Foundation, IAS 2; Basis for Conclusions, BC9 and BC19STRONG
Cooking yield depends on the method: the same cut 76% in the oven, 83% on the grillNguyen et al., USDA-ARS — laboratory measurementMODERATE
The same meal, seven methods: a price from $7.79 to $13.43Lukowski, c. 1986 — handbookMODERATE
Waste in hospitality: about 45% preparation, 21% spoilage, 34% plateWRAP, 2013 (data for 2011)MODERATE
Inconsistent portions are the first cause of varianceRestaurant365 — vendor text, no dataWEAK
A percentage mark-up “just in case” on the recipe card: 5%, 1%, 4–7%The Caterer, 2023; Drinks Industry Ireland — adviceUNRELIABLE
How much scales and measures reduce over-portioning in a restaurantno independent measurement foundNOT VERIFIED
Contents
Ten chapters. Ten numbers to follow.
Three parts: where the money goes, purchasing and price, stock and reconciliation. Every chapter has a number you measure, forms, one restaurant’s example with every figure shown, and the rules for Serbia and Croatia — VAT for other countries too — with their source and date.
| No. | Chapter | The number you measure | Forms in the book |
|---|---|---|---|
| 01 | Theoretical and actual food cost | variance of actual from theoretical food cost, % | Monthly food cost equation · Variance tree — first look |
| 02 | Costing to the cent | dishes with an up-to-date recipe card | Standard recipe card · Breaking down an old recipe card |
| 03 | Yield | price of portioned rump steak, €/kg | Yield test (butchering) · Cooking loss test |
| 04 | Sub-recipes | share of broth from your own house stock, % | Sub-recipe card · Recipe chain (dish tree) |
| 05 | Portions that hold | over-portioning (excess over the standard), € | Portion control at the pass · Portion specification |
| 06 | Suppliers and ingredient prices | saving on class A, € | ABC purchasing analysis · Comparing quotes by trimmed price |
| 07 | Prices from the costing | dishes whose price does not follow the recipe card | Price by seven methods · Price with VAT for your country |
| 08 | Drinks | bar variance, % | Drinks costing: bottle → glass · Weekly bar check |
| 09 | Stock | stock past its use-by date, € | Stock count by ABC and valuation · Par, reorder point and shelf life |
| 10 | The monthly reconciliation and the variance tree | staff meals and comps, € | Monthly food and drink cost reconciliation · Variance tree |
10 chapters · 10 numbers · 20 formsAcacia: variance 8.5% → 7.0% · profit €408 → €905 a month
Look inside
One restaurant, every recipe card.
Acacia, a restaurant we made up, starts with old recipe cards: the previous chef added “+10% for loss and sundries” to each one, at old prices. Once the cards are corrected, actual kitchen usage is 8.5% above theoretical — €219.77 a week. Chapter by chapter, the book gives every euro of that gap a name: the variance falls to 7.0%, and profit before tax rises from €408 to €905 a month.
Price
One book, one price. Everything included.
Each book of the trilogy is one product: the book with every form, workbook, template, poster and video guide that goes with it. Nothing to add on.
Book 2 · available
The Code Equation
The book and every resource with it, for your business and your team.
What you get
- The Code Equation e-book, 2026 edition, PDF, 191 pages
- 20 printable A4 forms, plus the number check before the first chapter, the checklist, the rollout plan and the dashboard
- The same forms to fill in on screen, in A4 and US Letter
- Excel: recipe card with sub-recipes, yield test, purchasing and ABC, price by seven methods with VAT
- Excel: drinks cost, stock (par level, FIFO, shelf life) and the monthly reconciliation with the variance tree
- Acacia workbook: every recipe card in the book and the P&L chapter by chapter, with formulas
- Word templates: a standard recipe as a legal document, a write-off record, an ingredient specification for suppliers
- AI prompts for ChatGPT, Claude and Gemini, each with a test on Acacia’s numbers
- Monthly review kit: reconciliation, variance tree, 50-point checklist, decision log
- Wall posters (A3): costing to the cent, yield, portions, measures at the bar, FIFO/FEFO and use-by
- Video guides for every Excel workbook
- The owners’ community on WhatsApp and Viber
The workbooks run in Excel (2019 or newer), Google Sheets and LibreOffice; the templates in Word, Google Docs and LibreOffice.
The whole trilogy: all three books for €99
Each book costs €39. All three together cost €99 instead of €117 — you save €18. All three books are out; if you have already bought one or two, you only pay the difference for the set.
Book 1 · The Choice Algorithm
€39
Available · early buyers −30%: €27.30Book 2 · The Code Equation
€39
Available · early buyers −30%: €27.30Book 3 · The AI Ecosystem
€39
Available · early buyers −30%: €27.30Purchases go through Gumroad. After payment, the download link arrives in your inbox straight away.
Who it is for
For the people who pay the invoices. And want to know where the money went.
This book is for you if
- you run a restaurant, bistro, tavern, bar or hotel restaurant and answer for food and drink cost
- you are a head chef who writes the standard recipes and answers for portions
- you run purchasing, the stores or the bar and do the stocktake
- you are a consultant or accountant who works with hospitality businesses
This book is not for you if
- you want one food-cost percentage that fits every restaurant — there isn’t one
- you are looking for recipes or cooking techniques
- you are not ready to measure, weigh and count
About the author
Srđan Mihailović
More than thirty years in hospitality: in top hotel kitchens and restaurants, and on cruise ships. He has worked and lived on four continents and knows both sides of the business — the one at the stove and the one at the owner’s desk.
He is the founder and owner of Gostíno.ai, an agency that helps hospitality businesses run their work with digital tools.
The same job is bound by the same problems everywhere.
Questions
Before you choose
What format is the book?
A 191-page PDF, 2026 edition. It reads on a phone, a tablet and a computer. The printable forms are A4; the forms you fill in on screen come in A4 and US Letter.
What language is it in?
British English. There is also a Serbian edition, Jednačina koda.
Do I need to read The Choice Algorithm or Restaurant Code first?
No. The Code Equation stands on its own. If you have the other two, you will recognise Acacia: the same restaurant and the same starting point, €408 profit a month. A short box in Chapter 1 explains what the corrected recipe cards change in the sums of Book 1.
Does it work for my country?
The method works everywhere: the recipe card, yield, portions, stocktake and reconciliation are the same in every kitchen. The rules on standard recipes, stocktakes and write-offs are given for Serbia and Croatia, and restaurant VAT rates for other countries too — with their source and as of October 2026. The book is not legal or tax advice: check with your accountant before you decide.
What comes with the book?
Everything: printable and fillable forms, Excel workbooks and the Acacia workbook, Word templates, AI prompts, the monthly review kit, wall posters and video guides. Nothing to add on.
How does the trilogy set work?
Each book costs €39; all three together cost €99. All three books are out. If you have already bought one or two, you only pay the difference up to €99.
What is an evidence grade?
Every claim says how well it has been measured: strong, moderate, weak, myth, unreliable or not verified. The grade goes to the claim, not to its author; the table of every claim is in Appendix D.2.
Are the examples from a real restaurant?
No. Acacia is a restaurant we made up, the same from the first page to the last. Its numbers show the method; they don’t promise a result. Every fact from research and regulation has its source at the end of the chapter.
Is Book 3 out?
Yes: The AI Ecosystem — QR menu, allergen matrix, POS and KDS as one system. In Chapter 19 the recipe card from this book works inside the system.
How do I get the book after buying?
Purchases go through Gumroad. After payment, the download link arrives in your inbox straight away.
From the same collection
More books from the Gostíno library
The Choice AlgorithmMenu Trilogy, Book 1: menu psychology and architecture.
The AI EcosystemMenu Trilogy, Book 3: QR menu, allergens, POS and KDS as one system.
Restaurant CodeTen mistakes that cost restaurants money — and the system that stops them.
HACCP CodeRestaurant food safety under EU and US rules: seven principles, one plan.
Cult of FireThe Serbian BBQ Bible: 50 recipes, from the Leskovac ćevap to the Leskovac Train.
One branch, one owner, one deadline.
Next month, the same branch has to be smaller.