Cost of Goods Manufactured: A Guide to COGM Calculation скачать в хорошем качестве

Cost of Goods Manufactured: A Guide to COGM Calculation

This video explains the concept and calculation of Cost of Goods Manufactured (COGM) within a financial accounting framework. It defines COGM as the total expenditure required to transform raw materials into sellable products, specifically focusing on the flow of Work in Progress (WIP) inventory. The video provides a detailed three-step formula that combines beginning inventory with direct labor, materials, and overhead while subtracting ending inventory. Furthermore, the guide distinguishes this metric from Cost of Goods Sold (COGS) by highlighting that the former tracks production activity regardless of whether a sale has occurred. Practical application is offered through an Excel-based example and a walkthrough of how these figures impact the broader income statement. Finally, the page promotes various professional certifications and training modules for those seeking careers in investment banking or corporate finance.