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2 revenue is defined as the total amount generated by a company without taking out expenses for.
Difference between revenue and profit class 11. π r c 1 2 q 40 000. The letter p is reserved for use later as a symbol for price. Profit is the bottom line or net income after accounting for all expenses debts and operating costs. The difference between the total income and total expense is the profit or loss for the year.
Advantages gives a true and fair view of the profit loss and financial position as adjustments relating to outstanding and prepaid expenses and accrued and advance income are taken into account. Revenue implies the money received by the company from its day to day operations alongwith the non operating activities. Revenue profit and income are three terms which sound same to a layman although in business terminology there is a huge difference between them. Since profit is the difference between revenue and cost the profit functions the revenue function minus the cost function.
Revenue is the total amount of income generated by a company.
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