Revenue Is Defined As Income

Income also referred to as net income or net profit is your revenue once all your operating expenses have been subtracted.

Revenue is defined as income. A survey produced quarterly by the census bureau that provides estimates of total operating revenue and percentage of revenue by customer class for communication key. Income is referred to as a company s bottom line as it provides a full picture of cash flow the total amount of money being transferred into and out of the business. Revenue is the amount earned from a company s main operating activities such as a retailer selling merchandise or a law firm providing legal services. In accounting a gain is the result of a peripheral activity such as a retailer selling one of its old delivery trucks.

Revenue definition is the total income produced by a given source. The total rent sales or earnings of a company. Revenue is the total amount of income generated by the sale of goods or services while income is earnings or profit revenue minus expenses. When negotiating for the purchase of income producing property be sure to inquire about the seller s definition of revenue rather than make the assumption that the seller is using the correct terminology to describe figures supplied to you.

Businesses report this figure on the income statement whereas individuals report theirs on the form 1040. While sales are a source of revenue a company may include other revenue sources like interest on loans rent on the property etc. Sales are a subset of revenue and can be defined as the economic price paid by the customers for a product or service offered by the business.