I have a business selling my own art prints and greeting cards that I print myself. In regards to COGS, how do I account for photo paper/cardstock that was bought to make inventory but some may be used to test print a design before it's listed for sale? (I could print an unlimited number of cards/prints, so I can't just add it to the cost of that one item sold). This is my first time calculating COGS, so I'm a little confused. Thanks!
Just count the stock that is there at end of business on 30 June.
COGS = [opening stock] + [purchased stock] less [stock at end]
There is no allocation of stock to sales needed, unless you have a stock-intensive business with inventory software.
Just count the stock that is there at end of business on 30 June.
COGS = [opening stock] + [purchased stock] less [stock at end]
There is no allocation of stock to sales needed, unless you have a stock-intensive business with inventory software.
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