Revenue is the income that a company generates from its business activities, usually through the sale of goods or services. It is an important metric for a company's financial performance and is typically reported on the income statement.The formula for calculating revenue is: -Revenue = Number of Units Sold * Price per UnitFor example, if a company sells 100 units of a product at $50 per unit, its revenue would be 100 * $50 = $5,000.Revenue can also be calculated by adding up all the money a company has received from its sales over a specific period of time, such as a month or a year.It is important to note that revenue is not the same as profit. Profit is the amount of money a company has left over after subtracting all its expenses from its revenue. So, a company can have high revenue but still not be profitable if its expenses are too high.Example:
XYZ Company sells 100 units of a product at $50 per unit, resulting in $5,000 in revenue. The company incurs $2,000 in expenses, resulting in a profit of $3,000.
