Cost of sales accounting is the practice of tracking and calculating the cost of producing goods or services that a business sells. It’s an important part of any successful business model, as it allows you to get an accurate picture of your profits and losses. Calculating the cost of sales involves taking into account all of the expenses related to producing your product or service, such as raw materials, labor costs, and overhead. Knowing your cost of sales lets you set realistic prices for your products and services, and make smart decisions about how to allocate resources. With careful cost of sales accounting, you can maximize your profits and ensure a healthy bottom line!