Profit by product Vs. COGS on P&L

[specprod]

I'm stumped... We had a normal Transaction with a PO, a receiving, an invoice to our customer etc.

I ran a "profit by product" report and while the report showed the income, there was NO COST associated with the sale.

I opened the P&L for the same period, drillled down on the COGS number and found the exact figure, missing from the "profit by product" report!!!!

How can the material cost side of this transaction show up on one report, but not the other??

Help me Mr. Wizard ....

[suzannemead]

What is the exact name of the report you first ran? What country and year?

[lisa_mn]

What version of QB? I don't see a "profit by product" report. There's an "item profitibility" report that shows the cost and revenue.

[lisa_mn]

Suzanne - you beat me to it!

[suzannemead]

By 7 minutes...aren't we quick? I was interested in the name of the report also since I have never seen a report by that name.

[Joe Williams]

If the "profit by product" report has onecolumn for Income and one for Expense with the "Total" for the line, then the reson the material cost is not showing in the Expense column is that the sale of Inventory items post to COGS. The COGS in a contra income account, NOT an expense account.
The "Profit" on that report should be accurate, it just does not have expenses for the item, just Positive and Negitive Income.

[specprod]

Gentlemen,

We are using Q.B. Premier, Manufacturing and Whloesale, 2007 edition. We are operating in the USA

The original report is "profitability by product". Go to the Mfg. & Whsle button at top of page and open it. At the bottom of that drop down, select Mfg & Whsle reports, then select profitability by product.

Again, this is a normal material sale and invoice. On this referenced report, the income from the sale is shown, but there is no cost reported. However, when I open the P&L and drill down the COGS, this material cost is shown.

Last, ALL other material costs on every other material sale are reported in the profitability by product report I mentioned. Why would EVERY other material cost be shown but not this one.

Thanks for the help and sorry for the length of this note

[suzannemead]

Are both reports being done on the same basis - cash or accrual?

[specprod]

Suzanne,

Yes, both reports done on same basis, accrual basis

Thanks

Doug

[suzannemead]

Is the Customer:Job name assigned on the bill? Not sure this would matter since you aren't looking for a job P&L. Is the date of the bill in the future?

[specprod]

Suzanne,

Regarding:

"Is the Customer:Job name assigned on the bill? Not sure this would matter since you aren't looking for a job P&L. Is the date of the bill in the future?"
__________________

We are a stocking distributor of various commercial construction products. We buy "stuff" and it may sit in a warehouse for 2 weeks or 2 months before it's sold.

When the material is shipped, it's billed to an individual account. Thus the individual sale is associated with an account, but not a job.

When you ask about the "bill in the future" I assume you are referring to the invoice from our factory, and typically the answer is no. Also, in most (99.9%) cases, we have received and paid for the material before we in turn, ship and invoice our customer.

Hope this helps and I appreciate your help

Doug

[suzannemead]

It seems like you know the program pretty well. I asked about the bill date being in the future because it may not show up until that date. At this moment I don't have any further ideas, but will keep thinking.

[Joe Williams]

I located the "Profit by Product" report in my Accountant version in the Industry specific reports. It as the "item Profitability" collapsed and the title of the report changed.

That stated, I cannot locate why the COGS amount wouold show on the P&L and not the "profit by product". Since the "Profit by Product" is a memorised version of the Item Profitability, it may be damaged.
If you run the Item Profitability report and click the buttom "Collapse", does it show the correct amount for Act. Expense?

[specprod]

I attempted report in both expanded and collasped and the $ values did not change.

I went back to the P&L, drilled down on the COGS and as below that specific dollar value was there ... Still stumped

Thanks again .... 114 F degrees today

[Joe Williams]

Sounds like you are in Tucson!!
Is the item type an Inventory Assembly type or a non-inventory item?
These may hit COGS at a differant time.
Still trying to make my copy act the same as yours.