COGS Calculator
Track your direct production costs. Calculate the Cost of Goods Sold to reveal your true gross margin and operational health.
Value of stock at start of period.
Cost of new stock added.
Value of unsold stock at end of period.
Cost of Goods Sold (COGS)
$4000.00
Total Goods Available
$7000.00
Why calculate COGS?
High COGS means lower profit margins. Tracking this helps you price products correctly and identify supplier issues.
Direct Margin Analysis
Cost of Goods Sold (COGS) measures the direct costs of producing the products sold by your company. This includes material costs and direct labor, forming the baseline for every financial model.
Supply Chain Reality
Factoring in freight, customs, and direct raw materials is vital for accurate COGS reporting in 2026.
Tax Compliance
Accurate COGS directly affects your taxable income. Over-reporting can lead to audits; under-reporting leads to lost cash flow.
Inventory Turnover
A high COGS relative to inventory isn't always bad—it often implies high inventory turnover, meaning you're selling stock as fast as you can produce or buy it.
The Formula
Prev Inv + Buy - New Inv
Output
Total COGS
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