When a Sale is Made, the Cost of the Inventory Sold is Debited To… Unveiling the Mysteries of Cost of Goods Sold (COGS)
Understanding the flow of inventory and its related accounting treatment is crucial for any business that deals with physical products. One fundamental question arises frequently: When a sale is made, to what account is the cost of the inventory sold debited? The answer, of course, is Cost of Goods Sold (COGS). However, a deeper dive … Read more