Question

What Is Meant by Revenue and Expenditure?

Answer 1

Revenue refers to the income that is generated by the business from its daily operations. It can be considered as the gross income from which costs need to be deducted to arrive at the net income.

Expenditure refers to the payment that is made either in cash or credit for purchasing goods or services.

Also read:

• Difference Between Capital Expenditure and Revenue Expenditure
• Income and Expenditure Account Based on Trial Balance

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