Demystified: Cost of Goods Sold (COGS) on the Income Statement
Imagine you’re running a business, shelling out money to buy goods that you then sell for a profit. Where does the money you spend on those goods go? It’s not like it just disappears! Welcome to the world of Cost of Goods Sold (COGS), a fascinating element of your income statement that tracks the expenses incurred to produce or acquire the products you sell. This handy-dandy figure tells you exactly how much it costs your business to create the goods that are generating income....
