How to calculate revenue?
As always, today we will talk with you againone very interesting topic. Beginners' entrepreneurs very often have a question about the similarity: how to calculate the revenue correctly, so as not to make mistakes in anything? Companies can calculate their revenues from sales based on the unit cost and the number of units sold.
However, companies often have more than onegoods and, therefore, you need to calculate the revenue from the sales of individual products, and then combine the revenue figures in one amount. Revenue or sales volume - the amount of money received by the firm for a certain period of activity (month, year), due to the sale of goods or services.
How to calculate revenue from sales
Calculate the revenue received from the sale of each product in the batch, you can by multiplying the amount of goods sold, the value of a unit of goods from the batch. To this end, we apply the formula: B = P * U,
- B is revenue,
- P - sales volume,
- C is the unit cost of the goods.
Example
The firm sells phones, and each phone sellsfor 1000 rubles. The firm sells 100 units per month. Multiply the unit cost by the number of units sold. In our example, 1000 rubles multiplied by 100 is equal to 100,000 rubles of revenue from phone sales per month.
There is a gain from other goods. For example, if a firm still sells an MP3 player that brings in sales revenue during the month of 80,000 r, the total sales revenue is 100,000 r plus 80,000 r, which is 180,000 r. Now you understand how to calculate sales revenue? Revenues and profits are two different things. Profit is revenue minus costs.
Let's try to calculate the volume of sales of goods in the planning period. Knowing the volume of commodity release of goods in the planned period, you can calculate the volume of sales. It is necessary to use the formula: P = He + T-Ok.
- Sales volume (planned),
- He - the remains of unrealized products at the beginning of the period,
- Ok - leftovers of unrealized products at the end of the period,
- T - release of goods in the planned period.
For example:
- He - the remains of unrealized products at the beginning of the month = 100 units.
- Ok - leftovers of unrealized products at the end of the month = 10 units.
- T - planned to release 20 units.
The volume of sales (planned) is: 110 units. It is calculated as follows: 110 = 100 + 20-10 units.
