Net sales:
A)is determined by adding total sales for the accounting period
B)is calculated once profit after all expenses are paid
C)is determined once profit after cost of goods sold is deducted
D)deducts sales discount and returns and allowances from gross sales deducting sales discount and returns and allowances from gross sales
E)is calculated by deducting revenues from gross sales

Question

Quizplus · Accepted Answer

Net sales are calculated by deducting sales discounts, returns, and allowances from gross sales, not by adding total sales or calculating after expenses or profits.

Net Sales