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cgu
Level 1

COGS goes to zero when creating an invoices. all our product setting up is OK.

our example is invoice 5038,
2 Comments 2
Joyce_P
QuickBooks Team

COGS goes to zero when creating an invoices. all our product setting up is OK.

Hi there, cgu.

 

When creating an invoice, the amount in the COGS account will increase. You'd need to check the item set up to see if you've properly selected the correct income and expense account.

 

To increase the amount in your COGS, you'll need to purchase items from your vendors. Please refer to this article to learn more how it impacts your inventory tracking in QBO: Impacts of Inventory Tracking on Balance Sheet and Profit & Loss reports.

 

I'll be right here if you need help.

Rustler
Level 15

COGS goes to zero when creating an invoices. all our product setting up is OK.


@cgu wrote:

COGS goes to zero when creating an invoices. all our product setting up is OK.

COGS goes to zero when creating an invoices. all our product setting up is OK.


our example is invoice 5038,

Assuming invoice means your invoice to your customer

 

When you sell an inventory item, COGS should go up, and not decrease as previouly mentioned.

For the cost posting to COGS improperly there must be something wrong with the set up for the item being used, the item controls that posting

 

Inventory  items have three accounts
expense = COGS
income = your sales income account
asset = inventory asset

 

Double check your item assignments, it sounds like the income account has COGS selected

 

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