Solved: Understanding COGS (again)

lennys26 · ‎08-31-2024

Hello Community.

I am again stumped by my COGS report and am hoping I can be pointed in the right direction.

This item cost is correct at €2.43 (pre-tax)
I sell the item for €3.75 inclusive of 10% tax, so €3.38 (rounded) without tax.

With only one item sold, why is the "Revenue" and "Avg. Revenue" €3.41 and not 3.38?

Note: This item has been in-stock, with no price or inventory changes.

TheRealChipA · ‎08-31-2024

@lennys26 Because you have calculated the wrong pre-tax amount.

€3.75 / 1.10 = €3.4090909, which rounded is €3.41, not €3.38

Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)

Was my post helpful? Take a moment to mark it as a solution. Marked solutions help other sellers find possible resolutions to similar problems. Also, if you find your solution elsewhere (say, through Support), it is helpful to come back to your post and tell us about it, then mark that as a Solution. Solutions are what this Community is all about!

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TheRealChipA · ‎08-31-2024

@lennys26 Because you have calculated the wrong pre-tax amount.

€3.75 / 1.10 = €3.4090909, which rounded is €3.41, not €3.38

Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)

Was my post helpful? Take a moment to mark it as a solution. Marked solutions help other sellers find possible resolutions to similar problems. Also, if you find your solution elsewhere (say, through Support), it is helpful to come back to your post and tell us about it, then mark that as a Solution. Solutions are what this Community is all about!

lennys26 · ‎08-31-2024

@TheRealChipA Once again, you have pointed out my mistake.

My calculation of 3.75 - 10%, which equals 3.38, is NOT the same as 3.75 / 1.10, which does indeed equal 3.409.....

A - 10% = B does not mean that B + 10% = A. This is evident but was not immediately obvious.

Thanks again!

TheRealChipA · ‎08-31-2024

@lennys26 It’s a very common mistake, trust me. I’m happy to help.

Chip A.
Square Expert & Innovator and member of the Square Champions group. (But NOT a Square employee, just a seller like you)

Was my post helpful? Take a moment to mark it as a solution. Marked solutions help other sellers find possible resolutions to similar problems. Also, if you find your solution elsewhere (say, through Support), it is helpful to come back to your post and tell us about it, then mark that as a Solution. Solutions are what this Community is all about!