Net Realisable question!

Hi Could you just help me understand the below please. A company which gives its sales personnel 5% of sales price as commission has this inventory at the end of the year. Quantity Cost Per unit estimated sale price Beads 2,000 $1.50 $1.53 Calculate the inventory amount that needs to be recorded in the SOFP.. I know how to calculate this.. so dont need any help with calculation. but I wanted to understand: when calculating the net realisable value= sale price- any running costs/ selling distribution costs.. how would one classify the 5% commission the company gives to its sales personnel? I would like to understand why we reduce sale price by the 5%...is the 5% commission is some sort of overhead.. what type of costs is this? thanks!!