One formula for the calculation of gross profit is sales rev…

One formula for the calculation of gross profit is sales revenue – cost of goods sold. Peter Harley owns a company that sells $14,500 in widgets that cost $10 per widget. The widgets cost $5 to manufacture and $1 to ship his store where he sells them. His gross profit is…   Below are some of the costs in COGS:  Direct materials Direct labor Equipment costs involved in the production Utilities for the production facility Shipping costs