You brought up a great point! I, just last night, has a potential customer tell me that they found my same exact designs (a WHOLE other topic!!!) on someone else's store and were selling them for $2.40 each and I was selling them for $5 -- would I price match...UM, no. I too run a real commercial bakery and I know the costs involved and obviously, that person isn't pricing their stuff accordingly. Decorated cookies are time consuming...the initial ingredients may not cost a lot, but the overhead in creating them does.
I love the chart. I could copy something similar from Quickbooks maybe later. I was an accountant in my past life (prior to child) and the details and numbers always interest me. 
Originally Posted by Julia M. Usher:
Great chart. It doesn't surprise me at all that the labor cost component on a decorated cookie is 6-7x that of the ingredients. That's why it's so important for people to compute/understand labor standards before they price. If you simply mark up ingredients by 3-4x, you could lose your shirt as this example shows very clearly. When I had my bakery about 8 years ago, I rarely did decorated cookies for under $5 each. Otherwise, I couldn't cover labor costs, not to mention overhead. Off my soapbox - I just feel it's critical for people to get paid what they're worth, because sooner or later, working for nothing becomes a chore. Thanks for sharing.