Net income increases when "revenue" increases.
What is revenue?
The overall revenue generated by a business over a predetermined period of time. This can be done by-
- The entire income generated by a specific source, such as a property with high predicted yearly returns.
- The total income a financial investment generates.
- The amount of revenue that a political entity, such as a country or state, collects and deposits into the treasury for use by the general public.
- The simplest way to determine revenue is to multiply the total number of units sold by the selling price.
- A company's earnings, or bottom line, will be lower than its sales because revenues do not take expenditures or expenses into account.
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