Cost basis from sales is a term used in the finance and accounting industry to describe the amount of money a company spends to create or acquire products or services that are subsequently sold. This cost includes all expenses incurred in order to produce a product or provide a service, including labor, material, shipping, taxes and any other costs related to production and sale. Knowing the cost basis of sales helps companies accurately track their profits and losses over time, allowing them to make more informed business decisions.