Definition Revenue Vs Turnover

Turnover refers to how many times a company burns through assets such as cash inventory workers etc however revenue represents the money a company earns by selling its goods and services for a price to the consumers.

Definition revenue vs turnover. The frequency or speed of converting turning over assets into revenue from operations it determines the efficiency and effectiveness of the enterprise to manage. Revenue vs turnover infographics below is the top 8 difference between revenue vs turnover. Turnover are as follows revenue represents the amount of money a company makes by selling its goods or services to the customers. In the united kingdom the term turnover is used for the same purpose.

At first glance the premise of turnover vs revenue seems simple. Difference between turnover revenue. The words are commonly used as synonyms to describe the total sales or income of a business over a given period. On the other hand turnover refers to the number of times a company burns through assets like inventory cash and workers.

In the business world the terms turnover and revenue are important and are sometimes used in reference to the amount of money a company generates. This accounting ratio tells a company how many times it burns through its cash balance. Key difference revenue vs turnover revenue and turnover are two accounting terms that are often used interchangeably. Sales turnover is the second direct connection between revenue and turnover information presented in accounting data sales turnover divides revenue by cash with both pieces of information taken from a company s financial statements.

The critical differences between revenue vs. In many situations turnover and revenue describe such similar ideas that they can be used interchangeably without problems. In the united states businesses use the term revenue with regard to how much income a company generates. The terms turnover and revenue are two terms that play a huge part when it comes to business and accounting.

In accounting terminology turnover as the name suggests refers to the number of times an asset revolves during an accounting period i e.