Mvat audit - definition of net sales & gross receipt

Suraj (819 Points)

07 November 2011  

Dear Sir / Madam,

I have query related to Financial ratio under MVAT Audit. I wish to know meaning of terms "Net Sales" and "Gross Receipts".

For example: Suppose

Sales 12.5% VAT 12.5%   Sales 5% VAT 5%   CST sales 2%     CST 2%       Labour            Sales as per P/L

Rs.100            Rs.12.5       Rs.100     Rs.5              Rs.100               Rs. 2          Rs.500                    Rs.819.50

 

In this case what is Net Sales??

Also please explain the meaning of Gross Receipts and how to derive it.

 

Thanks

Suraj