### Question
Can you define what net cost means?


### Answer
**Net cost** is defined as the following in *19 U.S.C. § 3332*:

> total cost less sales promotion, marketing and after-sales service costs, royalties, shipping and packing costs, and nonallowable interest costs that are included in the total cost

#### Citation:
  - *19 U.S.C. § 3332*
  - Heading: **CHAPTER 21-NORTH AMERICAN FREE TRADE > SUBCHAPTER II-CUSTOMS PROVISIONS**

