definiens: means the amount invoiced ( or in the absence of an invoice, received ) by COMPANY or its SUBLICENSEES for the sale to THIRD PARTIES of the SELECTED PRODUCT less the following, to the extent included in the amount invoiced : ( i ) customary trade, cash and quantity credits, discounts, refunds or rebates actually allowed and taken ; ( ii ) amounts for claims, allowances or credits actually given for returned SELECTED PRODUCT ; retroactive price reductions ; chargebacks ; ( iii ) packaging, handling fees, freight and insurance, incurred in transporting SELECTED PRODUCT to THIRD PARTY purchaser ; ( iv ) government - mandated and other rebates ; ( v ) value added tax, sales, use or turnover taxes, excise taxes and customs duties included in the invoiced price ; CONFIDENTIAL Page 8 of 107 [ ] = CERTAIN CONFIDENTIAL INFORMATION CONTAINED IN THIS DOCUMENT, MARKED BY BRACKETS, IS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT TO RULE 406 01 < ' THE SECURITIES ACT OF 1933, AS AMENDED . and ( vi ) known uncollectible amounts that can be documented, determined in accordance with GAAP . NET SALES shall be deemed to accrue upon the date of the invoice for the SELECTED PRODUCT