Hello there, @Jrhoward. I've got your back, and I'll be pleased to discuss your concern so you can get through it and choose what's best for your business here in QuickBooks Online (QBO).
Know that the cost of goods sold (COGS) refers to the direct costs of producing the goods or services made by a company. This amount includes the cost of the materials and labor directly used to create the good or perform the job. That said, you can use this if you plan to track the overall costs it takes you to complete the product or render the service.
On the other hand, supplies and materials are tangible properties you use or consume in business operations and is a component acquired to maintain, repair, or improve a product or perform the service to the job.
If you're unsure of what to use, you can seek for your accountant's advice. This way, they can give you the best possible way to handle parts you bought for a job.
I recommend checking this page to learn more about COGS in QBO: Cost of goods sold.
Additionally, I've got you this article in case you want to keep track of your inventory in QBO: Set up and track your inventory in QuickBooks Online.
You can also check this article in case you'd like to set up project in QBO: Set up and create projects in QuickBooks Online.
@Jrhoward, it was a pleasure to have you in the Community today. Do you have any additional QuickBooks-related concerns or need help performing specific tasks in QBO? You can always get back to me anytime. I'll be more than happy to assist you again. Take care, and have a nice day!
