How to calculate the cost of goods sold (CMVMC)

What is it for?

When the company uses periodic inventory, the cost of goods sold is only known at the end, with the closing stock. In the example, supplier invoices put purchases directly on account 61 during the year. The product calculates this CMVMC proposal for the period, shows the lines of the journal entry and, when you post it, records the closing stock (account 32) against account 61. Each proposal is kept, with its state, who posted it and when.

When to use it?

• At the end of the period (usually at the end of the fiscal year), after the period's purchases and returns have been recorded.
• Before simulating the result or closing the fiscal year, so that the cost of goods sold is correct.
• Do not use it if the company uses perpetual inventory: in that case the cost comes from the stock moves.

Where to find it?

Accounting › Close › Close the month, in Supporting lists, Cost of goods sold. The list is called CMVMC (periodic inventory).

Before you start

• Your profile is Accountant. Management and the Auditor can also open the list.
• The period's purchases and the closing stock (valued stock) have been recorded.
• The example is the 2026 fiscal year of Empresa Demonstração, Lda: account 611 Goods has €11,100.00 debit and the stock on hand is worth €480.00.

How to use it

1. Open Accounting › Close › Close the month and, in Supporting lists, Cost of goods sold. The list shows each proposal with the period, the CMVMC (61), the Production variation (73) and the state (Draft, Posted or Cancelled).
2. Click New. Type the Period start (01/01/2026) and the Period end (31/12/2026). The Journal is already filled in (Miscellaneous Operations).
3. Click Calculate. The form shows the CMVMC (61) and the Production variation (73), and one line for each inventory type: in this example, M - Goods, nature Closing stock, account 321 Goods, counterpart 611 Goods, amount €480.00. The CMVMC (61) shows as -€480.00: it is the amount the journal entry removes from the cost, because the closing stock is not an expense of the year.
4. Review the lines. If something is missing (purchases, returns, stock), correct the journal entries and click Calculate again: the calculation is repeated and a trail is left in the form's history.
5. Click Post and, at the question “The CMVMC entry will be posted on the last day of the period. Continue?”, click Confirm. The state changes to Posted and the form shows the journal entry (in the example, OD/2026/00104), who posted it and when. The Calculate button no longer appears.
6. If you need to undo it, click Cancel and confirm the question “Cancelling a posted proposal posts the reversal entry. Continue?”. The state changes to Cancelled and the form shows the Reversal entry (in the example, OD/2026/00105). The original journal entry is not deleted. On a proposal in Draft, the question is the same, but there is no journal entry or reversal.

Expected result

• A journal entry on the last day of the period, in the Miscellaneous Operations journal, with a debit of €480.00 on 321 Goods (closing stock) and a credit of €480.00 on 611 Goods. In the 2026 Ledger, 321 now has a debit balance of €480.00 (opening balance €0.00, journal entry OD/2026/00104 of 31/12/2026, description “Closing stock - M”) and 611 has €11,100.00 debit, €480.00 credit and a balance of €10,620.00.
• The cost of goods sold and materials consumed for the fiscal year becomes €10,620.00: opening stock (€0.00) plus purchases (€11,100.00) minus closing stock (€480.00). This is what the income statement shows in Cost of goods sold and materials consumed (-€10,620.00, instead of -€11,100.00), and the Net result of the period improves by the same €480.00 (from -€59,331.84 to -€58,851.84).
• Cancelled proposals stay on the list, with the journal entry and the reversal.

Important notes

• Account 61 includes the purchases. The product only posts the closing stock; the purchases are already on 61 through the supplier invoices. The negative sign of CMVMC (61) means “reduces the cost”.
• Opening stock from the ledger. The journal entry clears what the ledger has on 32 at the start of the period, not the software's valuation. If they differ, the form warns you (see below). Check the previous period's closing.
• Reversal instead of deletion. Cancelling a posted proposal deletes nothing: it creates the reversal entry, for the audit trail. Once cancelled, make a new proposal for the same period.
• Production variation (73). Shows the change in stock of finished goods and work in progress (credit to 73 if positive). In the example it is €0.00, because the company only sells goods. Pending validation by a certified accountant: treatment of product stock and of the valuation method in the CMVMC, and whether purchases should go through account 31 (Purchases) before 61 (the Inventory valuation method changes list has no records in the demonstration).
• Dates. The journal entry is dated the last day of the period, even if it is a future date, and the screen refuses it if that day is locked (see “Common problems” and the lock dates).
• Partial periods: check before posting. At present, a proposal for only part of the year can come out with a wrong amount: from 01/01 to 31/08/2026, the CMVMC (61) gives +€10,020.00, while the whole year gives -€480.00. Use the proposal for the whole year.
• One proposal at a time. While there is a proposal in Draft or Posted for a period, the screen does not calculate another one that overlaps it: the cost would be posted twice.
• For an estimate, without posting, use the closing stock in the result simulation.

Common problems

“There is already a CMVMC proposal “…” (Draft) overlapping this period in the company “…”. Posting the cost twice would duplicate it. Open that proposal or cancel it first.”

• Cause: you clicked Calculate on a new proposal whose period overlaps another one (Validation Error message). In the demonstration there is already a 2026 proposal in Draft. A Cancelled proposal does not count.
• What to do: click Close, open the existing proposal from the list and continue with it; or cancel it and make a new one.

“The period ends on 31/08/2026, which is locked (lock date 2026-08-31). The CMVMC entry would be dated in a closed period. Ask the fiscal manager for a lock exception or unlock the period first.”

• Cause: the last day of the period is on a locked date (Invalid Operation message, after confirming Post). Nothing is posted and the proposal stays in Draft.
• What to do: ask the Fiscal officer for the exception (lock dates) or post the proposal in an open period.

“The period start (31/12/2026) is after its end (01/01/2026). Swap the dates so the start comes first.”

• Cause: the period starts after it ends (Validation Error message).
• What to do: click Close and swap the dates.

“Type M: the opening stock in the ledger (€0.00) differs from the software valuation at the start of the period (€480.00). The proposal uses the ledger, which is what the entry clears. Check the previous closing.”

• Cause: in the following period (2027, in the example) the valued stock at the start is €480.00, but account 321 does not have it yet, because the 2026 proposal was not posted (or was cancelled).
• What to do: first post the CMVMC for the previous period. Until that happens, the 2027 proposal calculates the same -€480.00 and shows this warning.

I do not see the “Post” button

• Cause: the proposal has no lines (period with no stock), has already been posted or has been cancelled.
• What to do: click Calculate and check that a line appears. A Posted proposal only allows Cancel.