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#cost-of-goods-sold

Cost of Goods Sold

Learn how to calculate and track cost of goods sold for inventory valuation

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14 min read

Independent Boba and Bubble Tea Shop Bookkeeping: Drink-Level COGS, Loyalty Breakage, and the KPIs That Actually Predict Survival

A working accounting backbone for an independent boba shop — recipe-card COGS down to the tapioca pearl, ASC 606 deferred revenue for loyalty and gift cards, Section 179 treatment for pearl cookers and heat sealers, the Section 45B FICA tip credit on Form 8846, FDA calorie disclosure thresholds, and the FDD Item 19 KPIs (ADS, prime cost, drinks per labor hour) that separate operators who scale from operators who close.

Mike Thrift

bookkeepingsmall-businessrestaurant
12 min read

Independent Cinema and Drive-In Bookkeeping: Film Rental, Concession Margins, and ASC 606 Deferred Revenue

Independent theaters keep 10-50% of box office after the distributor split but 85-92% of every concession dollar. This guide covers film rental settlements, ASC 606 deferred revenue for gift cards and movie passes, concession COGS by category, breakage and state escheatment, and Section 179 expensing for digital projectors and recliner seating.

Mike Thrift

bookkeepingsmall-businesscreative-industries
11 min read

Independent Pizzeria Bookkeeping: Prime Cost, ASC 606 Delivery Revenue, FICA Tip Credit, and Section 179

Independent pizzerias survive only when prime cost — food plus labor — stays at or below 60% of sales. This guide covers booking DoorDash and Uber Eats revenue gross under ASC 606, claiming the FICA tip credit on Form 8846, capitalizing deck and conveyor ovens under Section 179, and building recipe cards that expose the gap between theoretical and actual food cost.

Mike Thrift

restaurantbookkeepingsmall-business
15 min read

Pool Service Company Bookkeeping: Chemical COGS, Truck Depreciation, Licensing, and Seasonal Cash Flow

How residential and commercial pool service operators set up books that reveal true per-stop margin — separating recurring weekly routes from project work, tracking chemicals as variable COGS, allocating truck and Section 179 depreciation to routes, amortizing pesticide applicator licenses, and managing seasonal deferred revenue.

Mike Thrift

bookkeepingsmall-businessseasonal-business
18 min read

Auto Repair Shop Bookkeeping: Flat-Rate Hours, Parts Matrix, Comebacks, Warranty AR, and EPA Fees

Independent auto repair shops earn from labor, parts, sublet work, and environmental fees — each with different margins and bookkeeping rules. This guide builds a chart of accounts that separates flat-rate labor from clock hours, applies a tiered parts markup matrix targeting 55–58% gross profit, tracks comeback expense and warranty receivables aging, codes sublet work cleanly, and records EPA hazmat and shop supply fees as their own revenue and cost lines.

Mike Thrift

bookkeepingsmall-businesschart-of-accounts
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