I ran a P&L and something looked off. Based on my margins, the COGS looked very high compared to the Sales of Product Income. I looked at the detail for the COGS to see if something jumped out at me, and what I saw has me totally confused.

Under COGS, there is a list of items I purchased late in the year. Those items were added to inventory, but never sold, nor have I adjusted the inventory in any other way since receiving the shipment. Running a report on each item confirms this; it shows a single line with the bill against which I received the inventory. I purchased and received 12 of the item. I have 12 of the item now. So if I've never sold or adjusted the item, how can it appear in my COGS? If it ain't been S'ed, how can it have a COGS?!

The other thing: Every item on the particular bill appears in the COGS, even though not one of them was ever sold, but the amount listed next to each item seems to have no relation to the actual cost of the items in question. I have no idea what this number is. In fact, it's less than the cost of a single item.

I have no faith that the COGS is at all accurate at this point. Am I misinterpreting what should be listed as COGS? Or am I correct in thinking that something is odd?