sales

Examples of sales in the following topics:

• Recording Sales

  • Net sales are gross sales minus sales returns, sales allowances, and sales discounts.
  • In financial ratios that use income statement sales values, "sales" refers to net sales, not gross sales.
  • Sales - Sales Return & Allowances - Sales Discount = Net sales
  • Gross sales are the sum of all sales during a time period.
  • Net sales are gross sales minus sales returns, sales allowances, and sales discounts.

• Creating Sales Force Structure, Territories, and Goals

  • Sales operations may also be referred to as sales operations, sales support, or business operations.
  • Sales territories are the customer groups or geographic districts for which individual sales people or sales teams hold responsibility.
  • The purpose of a sales force coverage (or sales territory) metric is to create balanced sales territories.
  • A sales quota is the minimum sales goal for a set time span.
  • Sales quotas may also be for sales activity, such as number of calls per day.

• Sales Forecast Input

  • Also referred to as revenue, they are reported directly on the income statement as Sales or Net sales.
  • For financial ratios that use income statement sales values, "sales" refers to net sales, not gross sales.
  • Gross sales are the sum of all sales during a time period.
  • Net sales are gross sales minus sales returns, sales allowances, and sales discounts.
  • The sales figures reported on an income statement are net sales.

• Defining Personal Selling

  • Finally, the salesperson must remember to follow up after the sale is made.
  • The sales department would aim to improve the interaction between the customer and the sales facility or mechanism and or salesperson.
  • Marketing and sales differ greatly, but have the same goal.
  • Achieving this goal may involve the sales team using promotional techniques such as advertising, sales promotion, publicity, creating new sales channels, or creating new products.
  • The relatively new field of sales process engineering views "sales" as the output of a larger system, not just as the output of one department.

• Days Sales Outstanding

  • The days sales outstanding figure is an index of the relationship between outstanding receivables and credit account sales achieved over a given period.
  • Typically, days sales outstanding is calculated monthly.
  • DSO ratio = accounts receivable / average sales per day, or
  • DSO ratio = accounts receivable / (annual sales / 365 days)
  • Changes in sales volume influence the outcome of the days sales outstanding calculation.

• The Sales Process

  • A sales process is a systematic approach to selling a product or service.
  • Selling effectively enables sales teams to meet their sales goals, which are often illustrated as in .
  • These eight steps of the sales process are more current and accurate than traditional sales.
  • These steps of the sales process are given (pg. 66) and explained in one of the most influential sales textbooks written by Gregory A.
  • An effective sales process can be described through steps that walk a salesperson from meeting the prospect all the way through closing the sale.

• Recognition of Revenue at Point of Sale or Delivery

  • Companies can recognize revenue at point of sale if it is also the date of delivery or if the buyer takes immediate ownership of the goods.
  • Since most sales are made using credit rather than cash, the revenue on the sale is still recognized if collection of payment is reasonably assured.
  • The accrual journal entry to record the sale involves a debit to the accounts receivable account and a credit to the sales revenue account; if the sale is for cash, the cash account would be debited instead.
  • The revenue earned will be reported as part of sales revenue in the income statement for the current accounting period .
  • When the transfer of ownership of goods sold is not immediate and delivery of the goods is required, the shipping terms of the sale dictate when revenue is recognized.

• Objectives of a Sales Promotion

  • Sales promotion is one of the many tools used in a retailer's promotional mix.
  • Sales promotion may be referred to as "below the line" or "point of sale. " For example, price reductions at the cash register or complimentary gifts with purchases all fall under sales promotional tactics.
  • Sales promotions can be directed to consumers, sales employees, or other retailers.
  • Sales and coupons are some of the most common sales promotion tactics to stimulate interest and encourage consumers to purchase products.
  • The distribution of coupons is a common sales promotion tactic to encourage customer sales.

• Online Sales Promotion

  • Online sales promotions are meant to turn site visitors into consumers.
  • The development of a relationship with a sales representative created by a personal referral often makes the difference between an inquiry and a sale.
  • It adds new meaning to the phrase "cold calling", which refers to a personal selling technique whereby a sales representative contacts people who are not expecting a call or sales pitch.
  • Online sales promotions enable you to obtain measurable results.
  • Discuss on line sales promotion as a sales promotion method and relative to personal selling and sales promotion

• Accounting for Sale of Stock

  • How the stock sale is accounted for depends on the type of stock sold.
  • Often times companies offer their stock for sale as a way to generate cash.
  • How the stock sale is accounted for depends on the type of stock sold.
  • Most stock sales involve common stock or preferred stock.
  • Most stock sales involve common stock or preferred stock.