Common use of Record Keeping and Reports Clause in Contracts

Record Keeping and Reports. 5.01 SEN shall keep complete and accurate records and books relating to the manufacture, use and sale of the Products. EATON, through its representatives and employees, shall have the right to inspect and audit such records and books for the purpose of determining the sufficiency and accuracy thereof and the correctness of any payments made hereunder. 5.02 Each sale of Products shall be deemed made when invoiced to the customer. Accompanying each semi-annual royalty payment due under Section III hereof, SEN shall furnish to EATON a statement in writing showing in reasonable detail the following information: (a) Net Sales, including quantity, description and price of all Products invoiced to customers during the preceding semi-annual period; (b) A computation of the gross amount of the semi-annual royalty payment due EATON; (c) Taxes levied in the Territory with respect to each such payment; (d) A computation of the net amount to be paid to EATON; and (e) Every schedule of any prices established by SEN for the sale of the Products, including any and all amendments, changes or supplements to such schedules.