{"id":8521,"date":"2024-02-21T14:30:12","date_gmt":"2024-02-21T04:30:12","guid":{"rendered":"https:\/\/www.walshaccountants.com\/?p=8521"},"modified":"2024-02-21T14:21:09","modified_gmt":"2024-02-21T04:21:09","slug":"cost-of-sales-for-your-industry","status":"publish","type":"post","link":"https:\/\/www.walshaccountants.com\/cost-of-sales-for-your-industry\/","title":{"rendered":"Cost of Goods Sold (COGS) or Cost of Sales \u2013 for your industry"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"8521\" class=\"elementor elementor-8521\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-9424ff1 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"9424ff1\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-207236d\" data-id=\"207236d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-cc0176e elementor-widget elementor-widget-heading\" data-id=\"cc0176e\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">Understanding the Significance of Cost of Sales or Cost of Goods Sold (COGS).  <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bbe4b21 elementor-widget elementor-widget-text-editor\" data-id=\"bbe4b21\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Cost of Sales (also referred to as Cost of Goods Sold [COGS]) is a very important financial performance metric, as it <strong>tracks your ability to manufacture\/deliver goods and services at a reasonable cost<\/strong>. It represents the direct costs related to the manufacturing of goods\/services that are sold to your customers during a specific period. These costs typically include expenses such as raw materials, labour, and manufacturing overheads directly related to production.<\/p><p>Tracking Cost of Sales is crucial for businesses as it directly impacts profitability, reflects operational efficiency, and informs pricing strategies. This metric is a key component of the income statement, providing insights into the direct costs associated with generating revenue. The specific items included in the Cost of Sales section vary depending on the industry in which you operate.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-3f9d20d elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"3f9d20d\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-826bd9a\" data-id=\"826bd9a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-788cfb8 elementor-widget elementor-widget-heading\" data-id=\"788cfb8\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">What should be included in your Cost of Sales\/ COGS? <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-f2a4b8e elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"f2a4b8e\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-cd4af38\" data-id=\"cd4af38\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-20c22c3 elementor-widget elementor-widget-text-editor\" data-id=\"20c22c3\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Business owners often get stuck on what should be included in their cost of sales.<\/p><p>A simple way to break this down is outlined below:<\/p><ul><li>If you stopped paying for a certain expense, could you continue to manufacture the goods or deliver your services?<p>If the answer is Yes \u2013 this item should\u00a0<strong>not be included<\/strong> in cost of sales.<\/p><\/li><li>If you failed to pay for a specific expense would this cause production\/delivery of services to grind to a halt?<p>If the answer is Yes &#8211; this item <strong>should be included<\/strong> in your cost of sales.\u00a0<\/p><\/li><\/ul>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-a801ee1 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a801ee1\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-56c43e6\" data-id=\"56c43e6\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-d29ef45 elementor-widget elementor-widget-heading\" data-id=\"d29ef45\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-medium\">Industry-Specific Cost of Sales Insights<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-afca2ee elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"afca2ee\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5a1bb3f\" data-id=\"5a1bb3f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-42f4536 elementor-widget elementor-widget-text-editor\" data-id=\"42f4536\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>To get a real understanding of your margins, in this downloadable flyer we share which expenses you should include in your Cost of Sales specific to the following industries:<\/p><ul><li>Professional Services (legal, finance, real estate, architects, etc.)<\/li><li>Hospitality<\/li><li>Medical<\/li><li>Construction<\/li><li>Transport<\/li><li>Manufacturing<\/li><\/ul><p><b>Click on the images below<\/b> to expand:<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<section class=\"elementor-section elementor-inner-section elementor-element elementor-element-2e50b99 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"2e50b99\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-7d33eda\" data-id=\"7d33eda\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c129c2f elementor-widget elementor-widget-image\" data-id=\"c129c2f\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2.png\" target=\"_blank\">\n\t\t\t\t\t\t\t<img fetchpriority=\"high\" decoding=\"async\" width=\"1414\" height=\"2000\" src=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2.png\" class=\"attachment-2048x2048 size-2048x2048 wp-image-6440\" alt=\"Cost of Sales Page 1\" srcset=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2.png 1414w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2-212x300.png 212w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2-566x800.png 566w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2-1086x1536.png 1086w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2-170x240.png 170w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/1-2-1060x1499.png 1060w\" sizes=\"(max-width: 1414px) 100vw, 1414px\" \/>\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t<div class=\"elementor-column elementor-col-50 elementor-inner-column elementor-element elementor-element-7844c58\" data-id=\"7844c58\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-cc101df elementor-widget elementor-widget-image\" data-id=\"cc101df\" data-element_type=\"widget\" data-widget_type=\"image.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a href=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2.png\" target=\"_blank\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"1414\" height=\"2000\" src=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2.png\" class=\"attachment-2048x2048 size-2048x2048 wp-image-6441\" alt=\"Cost of Sales Page 2\" srcset=\"https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2.png 1414w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2-212x300.png 212w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2-566x800.png 566w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2-1086x1536.png 1086w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2-170x240.png 170w, https:\/\/www.walshaccountants.com\/wp-content\/uploads\/2022\/03\/2-2-1060x1499.png 1060w\" sizes=\"(max-width: 1414px) 100vw, 1414px\" \/>\t\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-7c28a7d elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"7c28a7d\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-c824b62\" data-id=\"c824b62\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-32cce50 elementor-widget elementor-widget-heading\" data-id=\"32cce50\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">Need to add any expense items to your Cost of Sales? \u200b<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-087ccd5 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"087ccd5\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e275dea\" data-id=\"e275dea\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-fe5a5a2 elementor-widget elementor-widget-text-editor\" data-id=\"fe5a5a2\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>If you want to allocate any of your expenses to a Cost of Sales item, changes can be made in the chart of accounts in your datafile.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-204b193 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"204b193\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-24a8b2a\" data-id=\"24a8b2a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-572fb4a elementor-widget elementor-widget-heading\" data-id=\"572fb4a\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">How to calculate COGS or Cost of Sales <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-58cbe92 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"58cbe92\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-afc7474\" data-id=\"afc7474\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8fd04cf elementor-widget elementor-widget-text-editor\" data-id=\"8fd04cf\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>The Cost of Sales formula:<\/p><p><strong>Beginning Inventory + Purchases During the Period \u2013 Ending Inventory = $COS figure<\/strong><\/p><p>Let&#8217;s consider a simplified example for a construction company to calculate COGS:<\/p><p>Suppose a construction company is building a residential house. Here are the costs involved:<\/p><p><strong>Beginning Inventory:<\/strong> At the start of the month, the company has $20,000 worth of construction materials, such as timber, bricks, and cement, in its inventory.<\/p><p><strong>Purchases During the Month:<\/strong> Throughout the month, the company purchases additional materials totalling $10,000 to continue construction.<\/p><p><strong>Labor Costs:<\/strong> In addition to materials, the company incurs $15,000 in labour costs for the month, including wages for construction workers and subcontractors.<\/p><p><strong>Other Direct Costs:<\/strong> The company also spends $5,000 on other direct costs, such as equipment rentals, permits, and insurance related specifically to the project.<\/p><p><strong>Ending Inventory:<\/strong> At the end of the month, after accounting for the construction progress, the company has $12,000 worth of materials remaining in its inventory.<\/p><p>Now, let&#8217;s calculate COGS using the formula:<\/p><p>COGS = Beginning Inventory + Purchases During the Month + Labor Costs + Other Direct Costs &#8211; Ending Inventory<\/p><p>= $20,000 (Beginning Inventory) + $10,000 (Purchases) + $15,000 (Labor Costs) + $5,000 (Other Direct Costs) &#8211; $12,000 (Ending Inventory)<\/p><p>= $48,000<\/p><p>So, the COGS for the construction project during the month is $48,000. This represents the direct costs associated with producing the construction work completed during the period.<\/p><p>By calculating COGS, the construction company can assess the direct expenses incurred for the project, track profitability, and make informed decisions to optimise costs and improve financial performance.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-6104f12 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"6104f12\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e91c331\" data-id=\"e91c331\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-2a07af4 elementor-widget elementor-widget-heading\" data-id=\"2a07af4\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">Why is Cost of Sales so important? <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-88c44de elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"88c44de\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-58ca0f2\" data-id=\"58ca0f2\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-1b1c1b9 elementor-widget elementor-widget-text-editor\" data-id=\"1b1c1b9\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Whilst calculating the Cost of Sales is relatively simple, knowing this number will help to assess how effectively you are managing the manufacturing\/service delivery process and help you ascertain the business\u2019s overall gross profit margin.\u00a0\u00a0<\/p><p>The cost of sales formula is vital in understanding your business\u2019s financial performance in greater depth.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-d65152a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"d65152a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-60e94e5\" data-id=\"60e94e5\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4efeb1f elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"4efeb1f\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ca4c05f elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ca4c05f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-87b3b2a\" data-id=\"87b3b2a\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e64a7f5 elementor-widget elementor-widget-heading\" data-id=\"e64a7f5\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-large\">How can Walsh Accountants help? <\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-cb40f52 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"cb40f52\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-ae9b614\" data-id=\"ae9b614\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c295374 elementor-widget elementor-widget-text-editor\" data-id=\"c295374\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>Understanding how to calculate the cost of sales is so important as it gives you the information you need to stay on top of your business\u2019s financial health.<\/p><p>If you don\u2019t understand the internal movement of your capital, cash flow becomes extremely difficult to manage.<\/p><p>The team at Walsh Accountants can play a vital role in analysing your business\u2019s COS data, calculating gross profit margin, and providing strategic advice to optimise cost management. By accurately assessing COS, your business will be able to identify areas for improvement, make informed decisions, and drive sustainable growth.<\/p><p><a href=\"https:\/\/www.walshaccountants.com\/contact\/\">Contact our office<\/a> for a confidential discussion based on your personal circumstances.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Understanding the Significance of Cost of Sales or Cost of Goods Sold (COGS). Cost of Sales (also referred to as Cost of Goods Sold [COGS]) is a very important financial performance metric, as it tracks your ability to manufacture\/deliver goods and services at a reasonable cost. It represents the direct costs related to the manufacturing [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":8400,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"sfsi_plus_gutenberg_text_before_share":"","sfsi_plus_gutenberg_show_text_before_share":"","sfsi_plus_gutenberg_icon_type":"","sfsi_plus_gutenberg_icon_alignemt":"","sfsi_plus_gutenburg_max_per_row":"","_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","_vp_format_video_url":"","_vp_image_focal_point":[],"footnotes":""},"categories":[91,66,64,67,130,68,102,99],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Cost of Goods Sold (COGS) or Cost of Sales \u2013 for 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