cost of goods sold

Measurement of inventory value is my advice answer.The cost value assigned to merchandise and finished goods inventories results from an allocation of the total cost of goods available for sale between that portion sold (cost of goods sold ) and that portion hold as an asset for subsequent sale (ending inventory). Affect cost of goods sold downsiding and upsiding, as I know, a few factors involve the measurement of acceptable accounting value for inventory and cost of sold goods.1.) Which inventory items should be included?2.) Unit costs. Base cost flow assumptions on specific identification, weighted average, first-in, first-out, or last-in, first-out.3.) Cost basis.4.) Departures from the cost basis: a.) Lower-of-cost-or-market (LCM).b.) Net realizable value.c.) Replacement cost.d.) Current cost.e.) Selling price.5.) Other issues.

do you think the level of purchase may affect this issue?

Amount in accounting is usually affected by price P and quantity Q. In your case, the unit cost or quantities of the materials or trading goods may go up or down or the quantities and the selling price of goods sold ( Market demanding force ) may go up or down. In general, it all affected by the business activities of the business - a principle of supply and demand and the business policies ( expanding or retracting ) and actions of the business.