Troubleshooting: COGS Numbers

Troubleshooting: COGS Numbers

COGS reporting in Yellow Dog appears inaccurate

Possible Causes: 

COGS Account Mapping

  • COGS accounts are not mapped in the POS Item Map.

  • Items do not have COGS accounts assigned.

Purchasing

  • Invoices were not entered in Yellow Dog.

Physical Inventories

  • Physical inventories were not committed.

  • More than one physical inventory was performed for the same period.

  • Physical inventory counts are inaccurate.

Manual Adjustments

  • Waste or spoilage adjustments were not recorded.

Missing Sales

  • Sales were not pulled into Yellow Dog or were not fully processed.


1. Confirm COGS Account Mapping

All items must have COGS accounts assigned to ensure accurate reporting.

Use the following reports:

  • Inventory Items with No COGS Account — Identify inventory items missing COGS assignments.

  • POS Items with No COGS Account — Identify POS items missing mapped COGS accounts.

2. Review Invoices

Accurate purchasing records are essential for accurate COGS. Use a three-way match:
Yellow Dog invoice → Vendor invoice → Accounts Payable entry.

Keeping related documents together (stapled or scanned) simplifies month-end audits.

Helpful reports:

  • Purchase Order to Receipt to Invoice — Identifies purchasing documents that are not fully invoiced.

  • Detailed Invoice Report — Useful for clients using only invoices in their purchasing workflow.

3. Review Physical Inventories

Yellow Dog recommends performing one physical inventory per period (week, month, etc.). COGS compares one period’s physical count to the next, so consistency is essential.

Best practices:

  • Use separate count sessions for each area (for example, kitchen, liquor, wine, snack bar).

  • Ensure all active items are included in the physical inventory.

Helpful tools and reports:

  • Show Only Items with Variances (in the Physical Inventory Editor) — Quickly identify items needing recounts.

  • Item History — Investigate the source of variances for specific items.

4. Review Manual Adjustments

Record waste and spoilage adjustments regularly to avoid large corrections at month-end.

Reports:

  • Adjustment Detail and Adjustment Summary — Verify that all adjustments were entered.

5. Review Sales

Confirm that all sales have been imported and processed in Yellow Dog.

Report:

  • All Sales Captured — Validate that all sales data has been pulled in.

Alert
If No Discrepancies Are Found inaccurate COGS may be a result of operational workflows or possible shrinkage. Review internal processes for handling inventory, waste, transfers, and sales.

COGS Reporting Resources

Post-Physical Reporting

Inventory Detailed Usage by COGS Account

  • Provides a detailed breakdown of COGS, including physical inventory impact, sales, purchasing, and manual adjustments.

  • Useful for analyzing how each factor contributes to overall COGS.


Please contact support if: 

You have reviewed all of the recommended points, and are still unable to identify the cause of COGS reporting inaccuracies. 
  1. Phone: 757-663-7514
  2. Email: support@yellowdogsoftware.com
  3. Chat: Click here to Chat with a YD Support Guide 
Support hours: Monday–Friday, 9:00 a.m.–8:00 p.m. EST
Emergency support (available 24/7): 757-663-7514, Option 1