Guides
Bookkeeping guides for businesses that sell products
Practical, plain-English guides with worked examples. Written for owners who handle their own books or work with a part-time bookkeeper.
- InventoryInventory bookkeeping for small businessesHow to record inventory purchases, sales and cost of goods sold, choose periodic or perpetual tracking, and keep stock counts and your books in agreement.
- InventoryHow to calculate cost of goods sold (COGS)The COGS formula, what to include and leave out, a worked example, and how cost of goods sold drives gross profit and margin for a business that sells products.
- InventoryFIFO vs weighted average cost: which inventory method fits?Worked examples of FIFO and weighted average costing, how each changes cost of goods sold and profit when prices rise, and where LIFO fits for US businesses.
- ImportingWhat is landed cost, and how do you calculate it?Landed cost adds freight, duties, insurance and fees to a product's price. See the formula, three ways to allocate shared costs, and a worked example.
- Month-end closeA month-end close checklist for small businessesA step-by-step month-end close checklist: record everything, reconcile bank and card accounts, review receivables, payables and inventory, then lock the month.
- ReconciliationHow to do a bank reconciliation, step by stepMatch your books to your bank statement in six steps, with a worked example covering outstanding checks, deposits in transit, bank fees and errors.
Our guides are general education, not tax, legal or accounting advice. Confirm your situation with a qualified professional.