What is the Cost of Goods Sold ?

cost of goods sold  Cost of Goods Sold measures the costs of producing goods sold by a company Although goods can have direct and indirect costs of production, Cost of Goods Sold refers to the direct expenses incurred by a business in producing or acquiring the goods it sells It includes the cost of raw

The formula for calculating cost of goods sold is the sum of the beginning inventory balance and purchases in the current period, The cost of goods available for sale equals the beginning value of inventory plus the cost of goods purchased The cost of goods sold equals the cost of

The Cost of Goods Sold amount on the income statement is determined by considering the changes in the three inventory account balances during the period The Cost of Goods Sold Formula Cost of Good Sold Formula = Beginning Inventory + Purchases