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    What are COGS, what are the accounts affected by COGS?

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    What are COGS, what are the accounts affected by COGS?

    What are some examples of businesses that sell both products and services that are tied to each other?

    © BrainMass Inc. brainmass.com October 10, 2019, 3:34 am ad1c9bdddf

    Solution Preview

    Cost of Goods sold is a total of all the costs that were incurred to produce the product that was sold. For an example, let's use a company that frames art for customers:

    The revenue would be the total collected from customers for each individual framing job.

    The costs to frame a customer picture would include

    1. Wood or metal framing material
    2. Mats, if customer requested any
    3. Glass to protect the ...

    Solution Summary

    In a 278 word solution, the response carefully explains the various types of costs that are typically part of cost of goods sold. The accounts affected as also listed with explanations.