Why does Offtoa need to know the percentage of raw material needed for each product?

Offtoa needs to know that to compute the COGS. If you sell one candy bar for $2.00, we know the revenue ($2.00), but to determine the COGS, we need to determine the cost you incurred to get that candy bar. We know from your raw materials screen assumptions what you paid for a bulk carton of candy bars, but we need to know how many candy bars were in that box (or how many sheds you made out of the palette of lumber) in order to allocate a fair share of that bulk price you paid to that one customer purchase.

Related Questions:

What are the various 'units' that Offtoa asks for?

How do I relate raw materials to products I sell?

Where do I enter/change raw materials?


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