Cost of Sales
AccountEdge uses the Weighted Average Cost method to calculate the cost of sales for an item.
Total Item Value divided by Total Item Quantity On Hand = Weighted Average Cost = ((number of items purchased * one_cost) + (number of items purchased * another_cost)) / (total number of items) = Weighted Average
|Number of Items Purchased||Unit Cost||Extension|
Average = ($12.75 + $11.95) / 2 = $12.35
Weighted Average = ($5737.50 + $1195.00) / 550 = $12.60
If you need to adjust the cost of the an item this support article explains how to do so.