Cost Of Goods Sold

cost of goods sold  The COGS ratio is your restaurant COGS as a percentage of total sales To calculate the COGS ratio, divide your total food and beverage costs by your total COGS = Beginning Finished Goods Inventory + Cost of Goods Manufactured

The cost of goods sold is the sum of all direct costs associated with making a product It appears on an income statement and typically includes money The COGS ratio is your restaurant COGS as a percentage of total sales To calculate the COGS ratio, divide your total food and beverage costs by your total

Why is COGS important? The Cost of Goods Sold metric is essential for evaluating and comparing the profitability of different products or lines of business When calculating COGS, businesses take into account the cost of raw materials, labor, manufacturing overheads, and shipping By understanding COGS, businesses