GROSS PRICE Meaning and
Definition
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Gross price refers to the total or full price of a product or service before any deductions or discounts are applied. It represents the total cost that a buyer or consumer must pay to acquire or use the item.
In a business context, the gross price includes all the expenses associated with the production, marketing, and distribution of a product. It encompasses the cost of materials or ingredients, manufacturing or production costs, packaging, transportation, overhead expenses, and any other relevant costs incurred in bringing the product to market.
The gross price is significant in financial transactions and accounting as it serves as the starting point for calculating various financial metrics, such as revenues, profits, and taxes. It is also used in determining the selling price of a product or service by adding the desired profit margin or markup to cover the costs and generate a reasonable profit.
It is important to distinguish the gross price from the net price, which is the price after deducting any discounts, rebates, or allowances. The net price is what the buyer ultimately pays, while the gross price represents the initial or original cost of the product.
Overall, the gross price provides a comprehensive view of the total cost of acquiring or producing a product or service before any adjustments or deductions are made.
Common Misspellings for GROSS PRICE
- fross price
- vross price
- bross price
- hross price
- yross price
- tross price
- geoss price
- gdoss price
- gfoss price
- gtoss price
- g5oss price
- g4oss price
- griss price
- grkss price
- grlss price
- grpss price
- gr0ss price
- gr9ss price
- groas price
- grozs price
Etymology of GROSS PRICE
The word "gross" in the context of pricing originates from the Old French word "gros", meaning large or bulky. It is believed to have been derived from the Late Latin word "grossus", which also meant thick or great. Over time, "gross" came to be associated with quantities or values that were large or all-inclusive. In economics and commerce, the term "gross price" refers to the total price of a product or service before any deductions or discounts are applied.
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