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Gross profit
The financial metric indicating the difference between revenue and the cost of goods sold, reflecting the core profitability of product sales.
Perpetual inventory system
An accounting method that records the sale or purchase of inventory immediately through computerized point-of-sale systems and enterprise asset management software.
FIFO inventory cost method
An inventory valuation method where costs of the earliest goods purchased are the first to be recognized in determining cost of goods sold.
Inventory costing method
A system or technique used by companies to assign costs to inventory and goods sold; common methods include FIFO, LIFO, and average cost.
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