Cost method is how Rundoo values your inventory for COGS and margin — it flows into your Dashboards, P&L, and every report or export that references product cost.
In the Admin > Company tab, the Cost management section, pick the cost to use for COGS and margin reporting.
Average cost is the default, and the right choice for most Rundoo companies. Each time you receive inventory, Rundoo recomputes a weighted average unit cost across the on-hand quantity and the new quantity. Every sale then books COGS at that running average.
The upside: it smooths out price volatility from your vendors. If paint base goes from $18 to $22 to $20 across three receipts, your COGS lands on a blended number rather than whipsawing with each batch. For paint, hardware, and farm & feed — where vendor prices move and receipts arrive often — this matches how owners actually think about margin.
Standard cost uses a fixed cost per product — the one saved on the product record — regardless of what you paid on any given receipt. Every sale books COGS at that standard.
Use Standard cost only if your accounting team has told you to. It's a fit for companies that maintain cost per SKU as a deliberate decision (e.g. annual cost review) and want reports to reflect that fixed number rather than a moving average. Variance between standard cost and what you actually paid shows up separately in accounting rather than inside margin.
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Changing your cost method is a one-way accounting decision, not a reporting toggle. It changes how new COGS is calculated going forward — it does not retroactively restate historical reports, and the numbers on either side of the switch won't line up cleanly. Talk to your bookkeeper or accountant before changing this setting, and verify the exact behavior with Rundoo Support at (650) 334-3205 if you're unsure.
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To change the setting, open the dropdown and pick the other option. You'll see both choices — Average cost is highlighted as the current selection.
Tap Save to commit. If you change your mind before saving, tap Cancel.