Diferencia Revenue Y Net Income

People often refer to net income as the bottom line as it is the last line item on an income statement.

Diferencia revenue y net income. What you get to spend or save. Synonym for revenue income is net profit. Revenue is the total amount of income generated by the sale of goods or services related to the company s primary operations. It costs 30 to make the shirts so our income is 70 income revenue expenses.

Revenue is the resultant of such activities which actually defines the reason of existence of business. Income or net income is a company s total earnings or profit. Income is term which is loosely used to mean the total earnings of the business. We made a revenue of 100 on selling shirts.

What you get to spend or save. Net income goes even further than net gross margin because you deduct all other expenses including overhead and taxes. Synonym for revenue income is net profit. Revenue doesn t include expenses like the cost to make the item or produce the service.

The first step is to calculate net revenue gross revenue sales discount 110 000 10 000 100 000. Whatever amount he will receive from the customers on selling cars will be his revenue. The formula for net income is simply total revenue minus total expenses. Revenue also called sales or turnover is simply the total amount of money received by a company from its business operations sale of goods or services whereas net income also called net profit is the amount of money left after all expenses such as cost of goods sold operating expenses loan interests depreciation.

Generally accountants use the term income to mean net of revenues and expenses for example a retailer s income from operations is its net sales minus the cost of goods sold minus its selling general and administrative expenses. It costs 30 to make the shirts so our income is 70 income revenue expenses. When we deduct the costs of goods sold from the net revenue we get the gross profit here the gross profit is 100 000 30 000 70 000. From the gross profit we will deduct the operating expenses and we will get the operating profit.

For example a car dealer s real business is selling cars.