The basic Ingredient Method of Accounting is applied when the following conditions are met:
- Category must be marked as IMOA.
- CR Department must be marked as IMOA.
- CR Department is matched to IMOA category.
- Cost items have only cost, no retail.
- Retail items have only retail, no cost.
- GPM is calculated manually on the Category/CR Department level.
For details, see Calculating GPM for Basic IMOA. - Inventory is not taken on IMOA items.
Calculating GPM for Basic IMOA
For calculating GPM for basic Ingredient Method of Accounting, compare the sales over a defined time period to the purchases over the same time period.
The GPM value is calculated manually based on data from the Department Sales and Store Purchases reports using the following formula:
GPM = (Retail - Cost) / Retail
For more information on how to work with these reports, see Department Sales Report and Store Purchases Report.
