Gross Sales


DEFINITION of 'Gross Sales'

A measure of overall sales that isn't adjusted for customer discounts or returns, calculated simply by adding all sales invoices, and not including operating expenses, cost of goods sold, payment of taxes, or any other charge.


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Gross sales is usually an important measure for those companies in the consumer retail industry. It measures the amount of product that a company sells relative to its competitors, and can also reflect consumer spending habits.

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  1. What components are factored in determining net sales?

    The key components that factor into determining net sales include revenue, sales returns, allowances and discounts. Essentially, ... Read Full Answer >>
  2. What's an easy way of calculating gross sales in Excel?

    The easiest way to calculate gross sales in Excel is to use the PRODUCT and SUM functions. First, create a column that lists ... Read Full Answer >>
  3. What is the point of calculating gross sales?

    For companies, the calculation of gross sales is an important indicator of how well they are doing financially and how successful ... Read Full Answer >>
  4. What can gross sales tell you about a business?

    Gross sales demonstrate the amount of business activity undertaken by a company but do not reveal how much revenue was generated ... Read Full Answer >>
  5. Does location matter for taxes when calculating gross sales?

    Tax policies regarding gross sales differ by state and region. Some city jurisdictions, counties and states require a percentage ... Read Full Answer >>
  6. How do dividends affect the balance sheet?

    Dividends paid in cash affect a company's balance sheet by decreasing the company's cash account on the asset side and decreasing ... Read Full Answer >>

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