What is the difference between Net Sales and Cost of Sales?

What is the difference between cost of sales and cost of goods sold?

  • Answer:

    There is no difference between the cost of goods sold and cost of sales. Both are same. What if Cost of Sales relates to a service rather than a "good"? Does that not signify a difference? For example a cost of sales for a service would contain no starting and finishing inventory component as is described in some texts as a way of calculating cost of goods sold.

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