definiens: means, with respect to any Product, the gross sales price of such Product invoiced by Harrow, its Licensees, and its and thei r respective Affiliates to customers who are not Af filiates ( or are Affiliates but are the end users of such Produc t ), less : ( a ) credits, allowances, discounts and re bates to, and chargebacks from the account of, such customers ; ( b ) freight and insurance costs in transporting Produ ct ; ( c ) cash, quantity and trade discounts, rebates and other pri ce reductions for Product ; ( d ) sales, use, value - ad ded and other direct taxes ; ( e ) customs duties, tariffs, surcharg es and other governmental charges incurred in expor ting or importing Product ; ( f ) an allowance for uncollectib le or bad debts determined in accordance with GAAP not to exceed three percent ( 3 % ) of Net Sales of such Prod uct for the applicable quarterly reporting period b efore giving effect to this subsection ( f ) ; and ( g ) the fully - bu rdened cost of goods sold determined in accordance with GAAP