[GNC] quandary with proper entries for cost-of-goods-sold and inventory

[Eric Hammond]

First, what is the proper way to reply / request to this email sequence?
I follow the instructions at the end:
	"Please remember to CC this list on all your replies."
	"You can do this by using Reply-To-List or Reply-All."
But only end up with "gnucash-user at gnucassh.org" and get mildly chastised for not replying properly.

My tax accountant needed me to supply cost of goods sold, "COGS", but I have not figured out how to do this
Current sequence: 
I schedule a visit with the client, and determine the likely need for a widget of some type.
I purchase it ahead, and document with a Purchase order. At some point I receive it and log it into Inventory. 
Original attempt:
Item	        Acct                    Dr          Cr
-------------------------------------------------------
Widget	        Payables                           $10
	        Inventory          $10
--------------------------------------------------------
Payment       Bank                                 $10
                       Payables           $10


Clean, but no COGS entry.  My best attempt is this:
Item	        Acct                    Dr          Cr
-------------------------------------------------------
Widget	        Payables                           $10
	        COGS                 $10
--------------------------------------------------------
Payment       Bank                                 $10
                       Payables           $10	

And when I get the part from vendor:

Item	        Acct                    Dr          Cr
-------------------------------------------------------
Widget	        Purchases                        $10
	        Inventory          $10


I am ok with the extra step, but what kind of account is Purchases?
Is this even proper accounting?
Thank you!
Eric

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End of gnucash-user Digest, Vol 243, Issue 24
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