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Annual cost of goods sold / 365
To calculate the cost of goods you have to substract the gross profit from total sales.
IF cost of goods is available and margin is also provided then sales can be calculated as follows: Sales = Cost of goods / margin of sales
Cost of sales = opening stock + purchases-closing stock Cost of sales = opening stock + purchases-closing stock
Revenue less Cost of Sales (or Cost of Goods Sold).
dfs
Annual cost of goods sold / 365
We should calculate the profit on sales
To calculate the cost of goods you have to substract the gross profit from total sales.
IF cost of goods is available and margin is also provided then sales can be calculated as follows: Sales = Cost of goods / margin of sales
Cost of sales = opening stock + purchases-closing stock Cost of sales = opening stock + purchases-closing stock
Cost of salesOpening stockAdd: PurchasesLess: Closing stockGROSS PROFIT
Revenue less Cost of Sales (or Cost of Goods Sold).
Generally inventory turnover period is calculated as: Sales/Inventory Also by, Cost of Goods Sold/ Average Inventory
Gross profit calculation Gross profit = Revenue - Cost of sales
sales-variable cost= contribution
stock turnover ratio= cost of goods sold divided by stock or you can say it like... net sales / average inventory