Cost of sales
What Cost of sales means in Business GCSE, as defined for AQA, Pearson Edexcel.
Definitions of Cost of sales
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
Check what you remember
Read the wording for your board, then hide it and explain Cost of sales in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: Pearson Edexcel
Direct variable costs such as raw materials and direct labour.
The direct costs attributable to the production of the goods sold in a company.
Topics that use Cost of sales
- Business planning (AQA GCSE)
- Business calculations (Pearson Edexcel GCSE)
Related terms
- Gross profit
- Net Profit
- Accuracy and limitations of forecasting
- Average rate of return
- Break-even
- Business plan
- Cash Flow
- Cash Flow Forecast
Using Cost of sales in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Business questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
A week of Premium from your first lesson · Then the free plan continues · No card, no charge