Cost of Distribution, Cost of Goods Sold, Cost of Living Adjustment, Cost of Sales




Cost of Distribution, Cost of Goods Sold, Cost of Living Adjustment, Cost of Sales :




Cost of Distribution : The expenses which are incurred in transporting the good from the producer to the buyer : all the expenditure that is incurred in motivating the move from the manufacturer to the distributor or the consumer including the cost of advertising, discounts, sales commissions, etc.



Cost of Goods Sold : a financial statement which includes the total expenditure incurred including the cost of material, labour etc. manufacturing all the expenditure incurred in producing a product over which the administrator or the controller has total control : all the expenses incurred in producing a product including the direct, indirect and the overhead costs



Cost of Living Adjustment : a revision of the salary package, government retirement plan, social security rate and collective bargaining agreement on the basis of the consumer price index



Cost of Sales : those expenses which are incurred while distributing the product, advertising about the product, salesperson, etc. : all those expenses which are not incurred at the time of producing the product : These are controlled by the marketing head and used when an analysis of the efficiency of the distribution network, advertising etc.




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