Common use of Cost of Goods Sold Clause in Contracts

Cost of Goods Sold. The provisions of this section shall govern the determination of the cost of a unit of Compound or Collaboration Product. The accumulated costs of such unit as determined hereunder shall be referred to as “Cost of Goods.” When such unit is sold or transferred to Shire, in the case of New River, or to a Third Party, in the case of Shire, the Cost of Goods of such unit shall become the unit’s Cost of Goods Sold, subject to the selling Party’s inventory flow methods adopted.