Reporting revenues in the period in which they are earned is known as the accrual basis of accounting. Hence, a company’s revenue could occur before the cash is received, after the cash is received, or at time that the cash is received. (Note that for income tax reporting, smaller ...
revenue在会计上的含义较严格,一般指企业的“营业收入”(“营收”),即企业产品和劳务的销售收入,以及利息、股利和租金等收入.在政府会计中,revenue指政府的各项税收收入,即“岁入”、“税收”.例如,美国政府岁入的主要来源是所得税和财产税等直接税,其次是货物税和营业税等间接税. 在“营业收入”这个概念上,incom...
Deferred revenue, also called unearned revenue, is money a company receives upfront for goods or services it hasn't delivered yet. It’s a core concept inaccrual accounting, where revenue is recognized when earned, not necessarily when payments are received. A business first records these upfron...
Trial Balance Preparation:A trial balance is created to verify that total debits equal total credits, ensuring accuracy in the recorded entries. Adjusting Entries:At the end of the accounting period, adjusting entries are made to account for accruals, deferrals, and other adjustments. ...
Definition:Revenue, also called a sale, is an increase in equity related to the sale of a product or service that earned income. In other words, revenue is income earned by the company from its business activities. There are many different types of revenues including product sales, consulting...
A revenue expenditure is a cost that will be an expense in the accounting period when the expenditure takes place. Revenue expenditures are often discussed in the context of fixed assets. The revenue expenditures take place after a fixed asset had been put into service and simply keeps the asse...
In accounting, expenses are the costs a business incurs to keep things running. They include everything from the rent on your office space to the software subscriptions that power your team. Expenses represent the money spent or liabilities incurred while you earn revenue. ...
Revenue is also called the top linebecause it is the first item listed on yoursmall business income statement. You subtract business expenses from revenue to get yourcompany’s bottom line. You will determine your revenue differently depending on whether you use accrual or cash accounting. Inaccru...
Calculating Revenue The formula to calculate revenue is relatively straightforward: Revenue = Quantity of Goods/Services Sold x Price per Unit To get an accurate revenue figure, you need to multiply the quantity of goods or services sold by their respective prices. This calculation gives you the ...
IFRS Standards consist of a set of accounting rules that determine how transactions and other accounting events are required to be reported in financial statements.