definiens: means the total amount billed or invoiced in United States dollars ( or converted thereto in accordance with the Agreement ) on sales of the Lice nsed Product by Licensee, its Affiliates, sublicens ees and/or Affiliates of sublicensees in the Territory to Thir d Parties, less the following deductions ( i ) trade, cash and quantity discounts actually taken on such Licensed Product ; ( ii ) taxes on sales ( such as sales or use taxes ) to the extent added to the sale price and set forth separa tely as such in the total amount invoiced ; ( iii ) fr eight, insurance and other transportation charges to the extent adde d to the sale price and set forth separately as suc h in the total amount invoiced ; and ( iv ) reserves for amounts to b e repaid or credited by reason of rejections, defec ts, recalls or returns or because of retroactive price reductions, chargebacks, rebates or commissions, made in accor dance with generally accepted accounting principles and Licens ee ’s accounting policies . Sales between Licensee an d its Affiliates and sublicensees shall not be treated as Net Sales hereunder