Financial Models

This is a tool designed for the Accounting Department or inventory manager. The user simply inputs purchase history and sales history. Based on these things being entered in the order that they happen, the model produces the average cost per unit sold (cost of goods sold) for every sale quantity and the monthly cost of goods sold total value based on the FIFO Accounting methodology (first in, first out).

This is a really nice piece of logic because the only other way this can be done is through a manual process of figuring out how much of a given quantity is sold until all the initial purchased units are depleted. As soon as those run out, the Accounting standard dictates to move the rest of the units to the next most recent purchase price of those units in order to value the cost of goods sold per unit...and so on. This template automatically calculates this for the user. The purchase inputs are: Order description, # of units ordered, cost per unit, date of purchase. The sales history inputs are: Sales description and the # sold. The model then does a lot of clever math and logic to spit out the total cost of goods sold for that given sale and the average cost per unit for that sale based on the FIFO methodology.