Enter the gross sales, total returns, allowances, and discounts into the calculator to determine the net sales revenue.

## Net Sales Revenue Formula

The following formula is used to calculate a net sales revenue.

NS = GS – R – A – D

- Where NS is the net sales revenue
- GS is the gross sales
- R is the total returns
- A is the allowances
- D is the discounts

## Net Sales Revenue Definition

A net sales revenue is a measure of the total sales revenue minus returns, allowances, and discounts.

## Net Sales Revenue Example

How to calculate net sales revenue?

**First, determine the gross sales.**For this example we will say the gross sales is $1,000.00.

**Next, determine the total returns.**This is the value of all returns. We find this to be $50.00.

**Next, determine the total allowance.**We find this value to be $75.00.

**Next determine the total discounts.**We find this value to be $50.00.

**Finally, calculate the net sales revenue**Using the formula we find the net sales revenue = $825.00

## FAQ

**What is net sales revenue?**

Net sales revenue is the total revenue directly from sales after returns, discounts, and allowances have been factored in.

**What are gross sales?**

Gross sales are the total sales revenue of all sold items before costs.