@vpcontroller 

I am using quickbooks desktop pro if that makes any difference if your replies : )

Thank you for your reply.

"These are the Direct Costs before the Gross Profit line in the P&L report. And that's what more important."

yes! that is exactly what I am trying to figure out, I am wanting to make sure these types of materials are being tracked correctly since they ARE materials purchased to be used/consumed at a single job site. So I can go ahead and use these COGS accounts in quickbooks desktop pro, as if they are COS accounts?