What is cost of sales accounting in SAP AC - Accounting - General?

SAP Term: cost of sales accounting

• Component: AC

• Component Name: Accounting - General

• Description: A type of profit and loss statement that matches the sales revenues to the costs or expenses involved in making the revenue cost of sales. The expenses are listed in functional areas such as: Manufacturing Management Sales and distribution Research and development Cost of sales accounting displays how the costs were incurred. It represents the economic outflow of resources.

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• Key Concepts: 
  Cost of sales accounting is a type of accounting used to track the costs associated with producing and selling goods. It is used to calculate the cost of goods sold (COGS) and the gross profit of a business. This type of accounting is used in the SAP AC Accounting - General Ledger component. 
  
  How to use it: 
  In SAP AC Accounting - General Ledger, cost of sales accounting is used to track the costs associated with producing and selling goods. This includes tracking the cost of raw materials, labor, overhead, and other expenses related to producing and selling goods. The cost of sales accounting module also allows users to track inventory levels and calculate COGS and gross profit. 
  
  Tips & Tricks: 
  When using cost of sales accounting in SAP AC Accounting - General Ledger, it is important to ensure that all costs associated with producing and selling goods are accurately tracked. This includes tracking all raw materials, labor, overhead, and other expenses related to producing and selling goods. Additionally, it is important to ensure that inventory levels are accurately tracked in order to accurately calculate COGS and gross profit. 
  
  Related Information: 
  For more information on cost of sales accounting in SAP AC Accounting - General Ledger, please refer to the official SAP documentation here: https://help.sap.com/viewer/product/SAP_ERP_Central_Component/7.50/en-US/f3d8f9a2b6c14e8a9f3d7c2b5f9e4d1a.html