Cost of Goods Sold (COGS)

Last Updated: Oct 11, 2017 06:02PM PDT
Stitch tracks the cost of inventory using the weighted average cost method. When you receive against a Stitch purchase order, Stitch automatically updates weighted average cost based on the PO unit cost and quantity received.

By default, Stitch recognizes cost of goods sold (COGS) when a sales order closes.

To change how Stitch recognizes COGS in reporting, account administrators can go to Stitch Settings > Financial and choose from six cost calculations:

Note: Stitch pushes COGS values to integrated accounting solutions based on when an order closes. This is not customizable.