Question

Write down the definition of revenue.

Answer 1

Answer:

The income generated from sale of goods or services, or any other use of capital or assets, associated with the main operations of an organization before any costs or expenses are deducted. Revenue is shown usually as the top item in an income (profit and loss) statement from which all charges, costs, and expenses are subtracted to arrive at net income.

Answer 2

Revenue is the total income received by a company by selling its products.

What are the characteristics of revenue?

• Revenue is received in many forms like interest, and royalties
• When income is received from any company or corporation by selling goods then this comes under business revenue
• Revenue gives us information about the efficiency of the company by checking the cash flow statement
• Net income is also called revenue which is calculated by the investors to earn profit in a business
• The government receives revenue in the form of taxes and fees which is called government revenue