REVENUE Meaning and
Definition
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Revenue refers to the total income generated by a business or organization through the sale of goods, provision of services, or any other means. It is the financial inflow received from the activities of a company in a specific period, typically measured over a fiscal year. Revenue is an essential metric used to evaluate a company's financial performance and stability.
There are various sources of revenue, including sales revenue, service revenue, advertising revenue, rental income, and interest income. Sales revenue represents the income generated from the sale of products or goods. Service revenue indicates the income earned by providing services to customers, such as consulting or maintenance services. Advertising revenue is the income obtained from advertisements displayed on platforms owned by the business. Rental income is the revenue generated from leasing assets or properties. Interest income represents the revenue accumulated through interest payments received from loans or investments.
Revenue is typically calculated by multiplying the price of the goods or services by the quantity sold. It is crucial for a company to monitor and analyze its revenue to assess its financial health, measure profitability, and determine the effectiveness of its business strategies. Revenue growth is often seen as a positive indicator, indicating increased market demand and business expansion. Conversely, declines in revenue may suggest the need for adjustments in pricing, promotion, or product offerings in order to maintain financial sustainability.
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Annual income from rents, &c.; the public income of a state derived from taxes, &c.
Etymological and pronouncing dictionary of the English language. By Stormonth, James, Phelp, P. H. Published 1874.
Top Common Misspellings for REVENUE *
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Other Common Misspellings for REVENUE
Etymology of REVENUE
The word "revenue" originates from the Old French word "revenue" which means "return" or "income". It is derived from the verb "revenir" which means "to come back" or "to return". In the context of income or financial returns, the term "revenue" signifies the amount of money that comes back or returns to an individual, organization, or government through various sources such as taxation, sales, investments, etc. The word has been in use in the English language since the 15th century.
Idioms with the word REVENUE
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Airport Revenue Bond
An "Airport Revenue Bond" is a type of municipal bond issued by a government entity to finance the construction, expansion, or renovation of an airport. It is called a revenue bond because the principal and interest on the bond are repaid using the revenue generated by the airport, such as landing fees, terminal rentals, concessions, and parking fees. These bonds are secured by the revenue streams of the airport and do not rely on the general creditworthiness of the issuing government.
Similar spelling words for REVENUE
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