Sales are an exchange of money for goods, services or other assets. In accounting, sales refer to the revenues earned when a business sells its goods, products, commodities, etc. When goods are sold for cash, they are cash sales but if goods are sold and recompense is not received at the time of sale, it is credit sales. Total sales include both cash and credit sales. In common trade, sales refers to a transfer of ownership of a good or entitlement to a service, generally for concern in money.
In accounting, net sales refer to the operating revenues earned by a company by selling their products or services. The meaning of the term ‘sales’ in business varies depending on the definite context in which it’s used.
