# How to calculate revenue?

As always, today we will discuss one more very interesting topic. Novice businessmen very often have a question on the similarity: how to calculate revenue correctly in order not to err in nothing? Companies can calculate their sales revenues based on the unit value and the number of units sold.

However, companies often have more than one product and, therefore, need to calculate revenue from sales of individual products, and then combine the revenue figures into one amount. Revenue or sales - the amount of cash that the company received over a certain period of activity (month, year), due to the sale of goods or services.

## How to calculate sales revenue

You can calculate the revenue received from the sale of each product in the lot by multiplying the quantity of goods sold by the unit cost of goods from the lot. To do this, use the formula: B = P * C,

- B is revenue
- P - sales,
- C - the cost per unit of goods.

### Example

The company sells phones, and each phone sells for 1000 rubles. The company sells 100 units per month.Multiply the cost per unit by the number of units sold. In our example, 1000 rubles multiplied by 100 equals 100,000 rubles of revenue from phone sales per month.

There is revenue from other products. For example, if a company still sells an MP3 player that generates 80,000 rubles in sales during the month, then the total sales revenue is 100,000 rubles, plus 80,000 rubles, which is 180000 rubles. Now it’s clear to you how to calculate sales revenue. Revenue and profit are 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, it is possible to calculate the volume of sales. It is necessary to use the formula: P = He + T-Ok.

- Р - 999999999999990 sales volume (planned),
- He - the remnants of unsold products at the beginning of the period,
- Ok - the remnants of unsold products at the end of the period,
- T - release of goods in the planned period.

For example:

- He - the remnants of unsold products at the beginning of the month = 100 units.
- Ok - remnants of unsold products at the end of the month = 10 units.
- T - planned to release 20 units.

The sales volume (planned) is obtained: 110 units. It is calculated as follows: 110 = 100 + 20-10 units.