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Inventory: How is theoretical COS calculated?

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Anonymous User

Hi

 

Thank you for your question,

 

When running reports within the Inventory system, you will see "Theoretical COS" which is the Theoretical Cost of Sales calculated by the system,

 

Your Theoretical Cost of Sales is calculated based upon the Site Level Recipe Cost, multiplied by the number of times that Recipe (Menu Item) was sold within the Stock Period according to the Sales from your EPOS (Till provider),

 

Please take into note that the Recipe Cost at Site Level is dictated by the allocated preferred Supplier,

 

I hope this answers your question,

 

Best

Pritesh

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