DESKTOP EDITION CLOUD EDITION SERVER EDITION GUIDES FORUM

Account Type - Cost of Sales


#1

Would it be possible to create the Account Type: “Cost of Sales”. This is sometimes called “Cost of Goods Sold”. These accounts would need to be logically located between “Income” and “Expenses”. The difference between the totals of “Income” and “Cost of Sales” gives us our Net Sales before we start to deduct our overhead Expenses.
Many businesses including ours have costs that rise and fall in direct proportion to the number of sales made. It is very important to be able to separate these costs over which we have little or no control from our overhead expenses that we can manage directly.


#2

This will be eventually covered by a feature called Multi-step Income Statement. I haven’t started working on this yet because it seems there is much bigger demand for inventory and payroll. So it looks like it will be in Manager after these two other modules are implemented.


#3

No problem at all. I have designed a workaround by creating expense accounts with names that group them at the beginning of expenses so that I can extract the figures we need.
Thanks for all the help you have given me over the past couple of days… I am so pleased with the software, I guess I want to do everything at once.