The costs associated with the design and manufacture of a product such as direct material, direct labor and allocated overhead. They do not include selling and general administrative costs.

The amount paid for the goods sold during an accounting period.

The dollar value used for the product shipped—the value of material plus direct manufacturing labor and overhead.

The cost paid by a company (including freight) for the goods it sells to its customers. COGS is computed by adding the cost of the inventory at the beginning of the period to the cost of goods received by the store (or warehouse) during the period, then s

Cost of limited partner capital Cost plus contract

The cost of production or purchases of all the products and services that are sold in the reported period. It is calculated either by multiplying the cost of each product or service by the quantity sold or by calculating the opening inventory (stock) plus purchases during the period less the closing inventory.

Cost of goods sold represents direct costs incurred by businesses from the process of selling goods. This item is calculated as purchases and materials + opening inventory - closing inventory. This item can have a negative value if closing inventory is larger than purchases and materials plus opening inventory.

The sell price a company uses after buying raw materials and producing the goods. It also includes the cost of the company's labor force. You can find this amount on a company's income statement.

On an income statement, the cost of purchasing raw materials and manufacturing finished products. Equal to the beginning inventory plus the cost of goods purchased during some period minus the ending inventory. also called cost of sales.

Also called the Cost of Revenue, this is the cost of all raw materials plus the work in process and the cost of producing the finished goods.

The cost of merchandise or materials taken from inventory for sale. It includes the 'Cost of Goods Purchased' (or 'Purchases') plus the net subtractions from (or minus additions to) inventory. If 'Freight In' or insurance in transit or any other item is included in the valuation of inventory then they should be included in Cost of Goods. Any expense not included in the valuation of inventory should also be excluded from Cost of Goods Sold. Also note that the 'Total Goods for Sale' refers to the value of the inventory at the start of the year plus the 'Cost of Goods Purchased'

A non-cash measurement of the goods that were sold and taken out of inventory.. These goods are valued at the cost incurred when the business originally bought goods and/or produced the inventory.

Any expenses directly involved in producing or selling a good or service during a given time period.

The cost of all the materials needed to make the client's product.

The direct costs incurred in producing goods or services.

The expense of the goods sold, or the cost of goods used up (expired cost).

Cost of Goods Sold (CGS) are the costs directly related to the purchase or production of whatever the company sells.

Wholesale to retail, the price a business pays for the goods it purchases.

COGS) The total cost a business entity incurs to produce goods sold to customers during an accounting period. COGS includes all the factors that go into to the sale of a finished product, including direct costs (labor, material, and contractual services) and indirect costs (an allocated share of production and general and administrative overhead).

Direct expenses on production of goods for sale.

The direct and indirect product costs associated with the net sales recognized in an accounting period.

the cost of inventory sold in a given accounting period.

Expenses associated with materials, labor, and factory overhead applied directly to production.

The amount a retailer has paid to acquire the merchandise sold during a given time period. It equals the cost of merchandise available for sale minus the cost value of ending inventory.

Beginning inventory plus direct purchases, direct labor costs, and overhead costs less withdrawals for personal use and ending inventory. Sole proprietors compute their cost of goods sold in Part III of Schedule C.

determined for the period by counting the merchandise left at the end of the period (physical inventory) and subtracting its cost from the total cost of merchandise available for sale.

If your business manufactures products or purchases them for resale, some of your expenses are for the products you sell. You use these expenses to calculate the cost of the goods you sold during the year, as follows: inventory at the beginning of the year plus purchases (reduced by cost of items withdrawn for personal use) plus cost of labor (not including amounts paid to yourself) plus materials and supplies plus other costs, then subtract inventory at the end of the year.

A formula for working out the direct costs of your stock sold over a particular period. The result represents the gross profit. The formula is: Opening stock + purchases - closing stock.

The expense incurred to purchase raw materials and manufacture the products sold during a period, or to purchase the merchandise sold during this period.

Total price paid for products sold during the accounting period, plus transportation costs to acquire the goods. Service and professional companies will have no costs of goods sold, whereas, manufacturers will have detailed statements. Back to main document.

Beginning inventory- $ 45,000 Merchandise purchases- $120,000 Freight- $ 15,000

The directly attributable costs of products or services sold, (usually materials, labour, and direct production costs). Sales less COGS = gross profit.

The amount determined by subtracting the value of the ending merchandise inventory from the sum of the beginning merchandise inventory and the net purchases for the fiscal period.

Accounting term used to describe the total value (cost) of products sold during a specific time period. Since inventory is an asset, it is not expensed when it is purchased or produced. It instead goes into an asset account (usually called Inventory). When product is sold, the value of the product (the cost, not the sell price) is moved form the asset account to an expense account called cost of goods sold or COGS. COGS appears on the profit-and-loss statement and is also used for calculating inventory turns.

The actual cost of goods sold during the period. In its simplest form, it is the sum of the Opening Inventory plus all Purchases less any Closing Inventory. It excludes selling and administration expenses.

Cost of goods sold is traditionally the costs of materials and production of the goods a business sells. For a manufacturing company COGS is materials, labor, and factory overhead. For a retail shop COGS would be what it pays to buy the goods that it sell

In the retail world, the total cost to purchase a finished product. In the manufacturing world, the total cost associated with purchasing raw materials and manufacturing finished products.

Cost of inventory items sold to your customers. It may consist of several cost components, such as merchandise purchase costs, freight, and manufacturing costs.

The cost specifically associated with units sold during the time period under study.

the costs of making or providing a good or service and includes such costs as inventories used, direct labour, and factory overhead. Page 329

Direct materials and labor costs of a company. Revenues minus cost of goods sold are equal to the gross profit.

The actual cost of the items sold in the normal course of business during a specific period.

(Also called 'cost of sales') The amount which the retailer has paid for goods actually resold. It includes the invoice cost, discounts, rebates, shrinkage and freight charges. Formula: opening stock (at cost) plus purchases (at cost) less closing stock (at cost).

the total cost of buying raw materials and paying for all the factors that go into producing finished goods.

The expense incurred to purchase or manufacture the merchandise sold during a period.

Calculated by adding the beginning (opening) inventory and the cost of purchases and deducting the ending (closing) inventory.

The expense of inventory marketed in a particular accounting period.

The cost of goods sold is the total of the variable costs that go into making a product.

(COGS): The direct costs required to produce your products. May be calculated as Opening stock plus purchases less closing stock. COGS does not usually include overheads such as rent etc.

The direct costs associated with producing a product.

Cost to make a product, including materials, labor, and related overhead.

An expense shown on an income statement for a business that represents the cost of the inventory sold during the statement period.

Figure representing the cost of buying raw materials and producing finished goods

This is the product costing related to the actual goods or services sold and delivered. It appears in the income or the profit and loss statement. This is computed by aggregating the cost of merchandise purchased and beginning inventory and deducting off the ending inventory. It is not uncommon to find the cost of goods sold amounting to about 50%-70% of net sales under normal business scenario.

Cost of Goods Sold is usually the largest expense on the income statement of a company selling products or goods. This account or this calculation (depends on inventory system) matches the cost of the goods sold with the sales (revenue) of the goods that have been sold. The Cost of Goods Sold can be computed as follows: cost of beginning inventory + cost of goods purchased (net of any returns or allowances) + freight-in - cost of ending inventory. To Top

In accounting, the cost of goods sold (also, cost of sales or cost of revenue) describes the direct expenses incurred in producing a particular good for sale, including the actual cost of materials that comprise the good, and direct labor expense in putting the good in salable condition. Cost of goods sold does not include indirect expenses such as office expenses, accounting, shipping department, advertising, and other expenses that can not be attributed to a particular item for sale.