# The Science of Alcohol Profits

Here’s the science behind the price you pay for a drink at the bar. There is the Liquor cost which is the bottle price divided by the ounces in the bottle. Then there’s the Pour cost which is the cost to make the drink, divided by the price they sell it for. ( Typically around 20%)

The drink price is achieved by dividing the liquor cost by the pour cost. They also factor in garnish cost and shrinkage variance which covers any potential damage or expiry of drinks. Finally they round the number up to the nearest quarter, and your over priced drink is served.

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