Your sales prices are values you consider sufficient for a product or for a service to cover expenses made directly for the sellable unit and to also cover for those general expenses not related to production or providing the service (your company’s administrative, marketing and other expenses). 

It’s extremely important to price your goods and services accurately so to ensure that you’re not ending up with losses from your operations. It is one thing to earn gross profits (that is you’re covering your direct expenses), but you’d also want to ensure that you’re earning operating profits (that is you’re also covering those indirect expenses you make for administrative or for marketing purposes for an example).

As such, when we talk about controls over revenue and receivables, it’s important to ensure that your sales prices are kept up-to-date and that your customers are charged with the most recent and agreed sales prices. Again, it’s just step number one to update the prices, and another step to ensure that you apply updated prices to all new invoices.

Make updating sales prices and invoices your number one priority!