ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Businesses sell goods and services in exchange for money, which in this case is called revenue.

Detailed explanation-2: -For many companies, revenues are generated from the sales of products or services. For this reason, revenue is sometimes known as gross sales.

Detailed explanation-3: -Definition of Total Revenue: the amount a firm receives for the sale of its output.

Detailed explanation-4: -Revenue is the money a company earns from the sale of its products and services. Cash flow is the net amount of cash being transferred into and out of a company. Revenue provides a measure of the effectiveness of a company’s sales and marketing, whereas cash flow is more of a liquidity indicator.

Detailed explanation-5: -Revenue payments are an actual amount paid for the revenue expenditures. In other words, these are recurring payments which are paid in cash and are part of revenue expenditure.