Ce diaporama a bien été signalé.
Le téléchargement de votre SlideShare est en cours. ×

# Revenue.pdf

Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Publicité
Prochain SlideShare
Revenue
Chargement dans…3
×

## Consultez-les par la suite

1 sur 9 Publicité

# Revenue.pdf

kjwjndjwjqef

kjwjndjwjqef

Publicité
Publicité

## Plus De Contenu Connexe

Publicité

### Revenue.pdf

1. 1. Submitted By Utkarsh Goyal Submitted To Abhilasha Dixit
2. 2. Revenue Revenue is the amount of money that a company actually receives during a specific period, including discounts and deductions for returned merchandise. It is the "top line" or "gross income" figure from which costs are subtracted to determine net income. It consists of following three types. Revenue Total Revenue Average Revenue Marginal Revenue
3. 3. Concept of Revenue Total Revenue => Total Revenue refers to total receipts from the sale of a given quantity of a commodity. It is the total income of a firm. Total revenue is obtained by multiplying the quantity of the commodity sold with the price of the commodity. Total Revenue = Quantity × Price Average Revenue => Average revenue refers to the revenue obtained by the seller by selling the per unit commodity. It is obtained by dividing the total revenue by total output. Average Revenue = Total Revenue/Quantity AR refers to the rate at which output is sold. Accordingly AR is nothing but price of the product.
4. 4. Marginal Revenue => Marginal revenue is the net revenue obtained by selling an additional unit of the commodity. It is the addition made to the total revenue by selling one more unit of the good. In algebraic terms, marginal revenue is the net addition to the total revenue by selling n units of a commodity instead of n – 1. Change in Total Revenue TR Change in Quantity Sold TQ MR = =
5. 5. Example: Imperfect competition Output Q Average Revenue (Price) Total Revenue TR = AR X Q Marginal Revenue MR =TR(n) - TR(n-1) 1 10 10 - 2 9 18 8 3 8 24 6 4 7 28 4 5 6 30 2 6 5 30 0 7 4 28 -2 8 3 24 -4 9 2 18 -6 10 1 10 -8
6. 6. Relationship between Total, Average and Marginal Revenue. Imperfect competition -10 -5 0 5 10 15 1 2 3 4 5 6 7 8 9 10 AR MR 0 10 20 30 40 1 2 3 4 5 6 7 8 9 10 TR P R I C E P R I C E
7. 7. Example: Perfect competition Output Q Average Revenue (Price) Total Revenue TR = AR X Q Marginal Revenue MR =TR(n) - TR(n- 1) 1 10 10 - 2 10 20 10 3 10 30 10 4 10 40 10 5 10 50 10 6 10 60 10 7 10 70 10 8 10 80 10 9 10 90 10 10 10 100 10
8. 8. Relationship between Total, Average and Marginal Revenue. Perfect competition 0 2 4 6 8 10 12 1 2 3 4 5 6 7 8 9 10 AR MR 0 20 40 60 80 100 120 1 2 3 4 5 6 7 8 9 10 TR P R I C E P R I C E