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What is Sales
Sales is a term that indicates the amount of money recieved by selling products, goods and services in the accounting period (month, year).

Sales is a term that indicates the amount of money received by selling products, goods and services in the accounting period (month, year). These are revenues generated from operating activities - economic, i.e. revenue from sale of products or services that are the main source of finance of the enterprise.

Basic calculation:

Sales = Sales from selling own products and services + Sales from selling goods

or

Sales = p × q,

where:

  • p… price of goods
  • q… quantity of goods

Example of linear and nonlinear function of sales:

Sales

Use of the sales in practice: Sales are one of the basic indicators that is monitored not only by the sales department. Sales are entering into a number of financial indicators.

Related terms and methods:

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Last update: 28.08.2015

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