Revenue Is The Same As

The company s performance is measured to the extent to which its asset inflows revenues compare with its asset outflows net income is the result of this equation but revenue typically enjoys equal attention during a standard earnings call if a company displays solid top line growth analysts could view the period s.

Revenue is the same as. However there are many small differences between the two financial concepts. In this case the business is not receiving payment in actual cash rather it is owed 100 000. For individuals however income generally refers to the total wages salaries tips rents interest or dividend received for a specific time period. For instance if a service company invoiced 100 000 in march then they have earned revenue of 100 000 for that month.

For a business income refers to net profit i e. Profit is the financial gain of a business or the difference between the amount earned and the amount spent in buying operating or producing something. Earnings were up by 40 over 2012 and stock value has more than doubled but revenue was down 6 to 1 27 billion due to a decline in display ads the engine of yahoo. Both income and revenue are financial and business terms.

What remains after expenses and taxes are subtracted from revenue revenue is the total amount of money the business receives from its customers for its products and services. Returned merchandise becomes a refund so despite selling 487 000 of goods before christmas say they ve had 54 000. Case in point is yahoo s 2013 results. Revenue is generally described in terms of a specific time period such as revenue in a particular month quarter or year.

Revenue is generally referred to as a company s top line because revenue is typically listed at the top of the income statement. Revenue is a crucial part of financial statement analysis. Perhaps a company operates in retail selling goods. How would you explain a same year that had high earnings growth but loss in revenue presumably from lower order totals etc.

Income or net income is a company s total earnings or profit. Accrued revenue is the same as unrealized revenue. Many people mistake income and revenue as the same thing. When it comes to thinking about revenue the tricky thing is that sales and revenue are often considered the same thing but sales can exceed revenue and vice versa.