What does additional profit mean? What is the difference between revenue and income?

Activity commercial organization can be characterized by its revenue and sales. What is their specificity?

What is revenue in a business?

Under revenue commercial enterprise It is customary to understand the amount (or a list of property in value terms) that he received as a result of sales or provision of services within a certain period of time. Based on the difference between revenue and expenses (and sometimes only on the basis of the value of the first indicator), the amount of taxes that the company must pay to the state is determined. The exception is the taxation mechanism, in which the corresponding cash receipts to the enterprise account are not taken into account: such schemes include, for example, UTII system provided for by Russian legislation.

It is worth noting that, according to some methods financial analysis revenue as economically significant indicator may be reduced by taxes (in this case it is called “net revenue”).

A common approach according to which revenue is classified is:

• for cash receipts from the main type commercial activities firms;
• on proceeds from investments (for example, in the form of proceeds from the sale of securities);
• on revenue generated as a result of changes in exchange rates (for example, when exporting goods).

All three types of financial income are combined into total revenue. But, as a rule, business efficiency is assessed based on the income that is associated with the main activities of the enterprise.

A company's revenue can be calculated using two methods: cash and accrual. In the first case, it is recorded upon the fact that the enterprise accepts funds into its current account or cash register. In the second, it is calculated when the buyer of goods or consumer of services has obligations confirmed by contract or law related to payment for delivered products or services.

The main condition for receiving revenue from core activities, regardless of specific method its calculation is the sale of goods or services. Let's consider its specifics in more detail.

What is implementation?

This term corresponds to the direction of activity of a commercial enterprise, which is associated with the supply of goods or services produced or resold by it to the market. In fact, we are talking about meeting the demand generated by consumers. At the same time, the interaction between them and suppliers within the framework of sales may involve not only the actual purchase and sale of goods or services, but also, for example, the organization of their delivery (providing conditions for provision, if we are talking about services), storage, promotion through available channels sales, etc.

The end result of the sale of a product or service is the receipt by the authorized person of payment for the deliveries made, which, in fact, forms revenue from the main activity (or, if we are talking about the cash method of recording income, this will be the buyer’s acceptance of obligations to pay for the product or service) .



It may be noted that, in accordance with the legislation of the Russian Federation, the following cannot be recognized as sales, in particular:

• operations related to currency circulation;
• transfer of the company's resources to its legal successors as part of the reorganization of the business entity;
• transfer of company resources to non-profit organizations for non-commercial activities;
• transfer of investment property under a partnership agreement, as well as to mutual funds established in cooperatives;
• transfer of property within the framework of concession legal relations;
• resource transfer economic company one of the participants upon his exit from the business;
• transfer of apartments to citizens as part of privatization;
• operations of seizure of property, handling of ownerless things.

Comparison

There is more than one difference between revenue and sales. This is due to the fact that these terms, although used, as a rule, in the same context, nevertheless mean different things.

Revenue is the flow of cash received by an organization as a result of commercial activities. However, it is not always related to sales. Revenue, as we noted at the beginning of the article, can be, in particular, investment income.

Implementation- this is the part of commercial activity that is most significant from the point of view of the company’s acquisition of revenue from its main type of business. It is almost always associated with sales of goods and services.

Having determined what the difference between revenue and sales is fundamentally, we will reflect the conclusions in a small table.

Most aspiring entrepreneurs do not have an economic education and are not familiar with economic categories. Often, especially at the beginning of their activities, they are guided by everyday ideas, which often have little in common with financial and accounting terminology. It's easy to show simple example . Let's say you purchased goods for 100,000 rubles, spent on rent, transport, public utilities and the salary of the sellers was 50,000 rubles, but they sold this product for 200,000 rubles. What is your income and what is your revenue? Most ordinary people will immediately say that the revenue is 200,000 rubles, and the income is 50,000 rubles. After all, the revenue amounted to 200,000, and total costs 150,000 rubles. The difference is income. Now let’s ask the accountant: “What amount will you write in the income column?” The answer will be unequivocal - 200,000 rubles. Why such difference? What is the difference between revenue and income? Everything is very simple. The accountant is guided legislative definition

, and the average person often confuses this concept with profit or vulgarly with “gain”. If you start doing business, then you need to speak the same language with both the accountant and the fiscal authorities (which is very important). Misunderstandings can cost you dearly. Let's understand the terminology . In order to understand the difference between revenue and income, let us turn to regulatory materials . Ministry of Finance Russian Federation

(Order No. 32n as amended on April 6, 2015) interprets income as “... revenue from the sale of products and goods, receipts associated with the performance of work, provision of services (hereinafter referred to as revenue).” Based on this definition, for most activities there is no difference between income and revenue. This feature should be kept in mind when choosing a simplified taxation system. However, in reality, not everything is so simple. Let's try to show with an example: revenue and income, what is the difference. If your company operates on general scheme

taxation and is a VAT payer, then its amount is not revenue, but is subject to payment to the budget after deducting the VAT amounts paid to suppliers.

Let's explain this with a simple example. The immediate goal pursued by any production, in the conditions of what is called market economy , is making a profit. It creates some guarantees that the enterprise will continue to exist in the future. This is due to the fact that the accumulation of profits in the form of various reserve funds

Revenue and profit - different concepts. In the market, enterprises usually act as relatively isolated commodity producers. They set the price for their products, then sell them to the consumer, as a result of which cash proceeds come to them. But this does not mean that a profit has been made. In order to identify it, you need to compare the costs of production and sales (they take the form of cost) with revenue. If revenue is higher than cost, the financial result is profit. If it is equal to the cost, then you can only reimburse all costs of sales and production. But if costs exceed revenue, as a result, the company receives losses, the so-called negative financial results.

Revenue is nothing more than cash receipts resulting from the sale of products in the relevant market. A gross receipts- is that revenue that can be called total, received by an enterprise from the sale of work, goods, services and its own material assets.

A firm's gross income is the revenue generated by all of the firm's activities during a specific period of time. A average income firm - revenue calculated only per unit of product that is sold.

So, if gross income is cleared, then the final result of the activity of a particular enterprise will be profit or loss.

What is the essence of profit and its functions? Currently, its source is considered to be the innovative activity and work of the entrepreneur himself; its ability to navigate uncertain economic circumstances and pay for risk; income received from the use of investments, capital in production; monopoly, that is economic power firms above the market.

In an effort to make a profit, the enterprise improves its production, and, consequently, the growth of investments is stimulated, which leads to a significant increase in production volumes and the expansion of jobs. As a result, not only the industry develops, but also the national economy as a whole.

Profit performs the following functions: informational, stimulating and distributive. It is divided into several varieties:

1. Arithmetic. It's about about the difference between costs and income. Costs are usually different, but income is expressed as gross income, that is, total. Therefore, profit is calculated differently.

2. Normal. I mean normal required income that arises when running a particular business. The amount of this profit depends on the entrepreneurial spirit of the businessman and alternative opportunities for investing capital.

3. Economic. This refers to the difference between which includes normal profit and gross income. It is also called excess profit.

4. Economic. We are talking about the sum of economic and normal profit. This is nothing more than the initial base in the process of distribution and use of the profit received by the enterprise.

5. Accounting. It is calculated according to the following criterion: it is necessary from gross income subtract purchased (external origin). But if we take away from this type of profit implicit costs, then the result will be net economic profit.

Economic, or net, profit is a firm's income, which is defined as the difference between total revenues and the firm's total costs. Economic profit is not included in costs, since economic profit is the result of all economic activity firms Economic profit is what remains after total costs—both explicit and hidden—have been subtracted from revenue or total income companies.

The essence of profit as an economic category is manifested in its functions.

Profit functions:

characterizes economic effect, obtained as a result of the activities of the enterprise.;

profit has a stimulating function. Its content is that it is both a financial result and the main element financial resources enterprises. The actual provision of the principle of self-financing is determined by the profit received. Share net profit remaining at the disposal of the enterprise after paying taxes and other mandatory payments, should be sufficient to finance expansion production activities, scientific, technical and social development enterprises, material incentives workers;

profit serves as one of the sources of budget formation different levels. It goes to budgets in the form of taxes and, along with other revenues, is used to finance the satisfaction of joint public needs, ensuring that the state fulfills its functions, state investment, production, scientific, technical and social programs.

Profit generation mechanism

Revenue (net) from the sale of goods, products, works, services (less value added tax, excise taxes and similar mandatory payments)

Cost of goods, products, works, services sold

Gross profit

Business expenses

Administrative expenses

Profit (loss) from sales

Interest receivable

Percentage to be paid

Income from participation in other organizations

Other income

other expenses

Profit (loss) before tax

Current tax on profit (20%)

Net profit (loss) of the reporting period

Among the main profitability indicators are the following:

return on assets;

profitability current assets;

profitability equity;

profitability of fixed production assets;

product profitability;

profitability of sales (sales);

profitability of long-term financial investments.

Return on assets is a percentage balance sheet profit(or net profit) of the enterprise to the value of its assets (fixed and working capital). Shows how many rubles of profit one ruble invested in the assets of the enterprise brings.

The profitability of current assets indicates the effectiveness of use current assets. It is calculated as the ratio of the balance sheet profit (or net profit) of an enterprise to the value of its current assets.

Return on equity allows you to determine the efficiency of using equity capital and compare it with possible receipt income from investing these funds in other securities. The indicator means how much monetary units net profit was earned by every monetary unit invested by the owners of the enterprise. Defined as the ratio of profit to equity capital.

Return on fixed assets shows the efficiency of using fixed assets and other non-current assets. The indicator is calculated as the ratio of the balance sheet profit (or net profit) of the enterprise to the cost of fixed assets and other non-current assets.

Return on sales (sales) makes it possible to find out how much profit is per unit products sold. This indicator is defined as the ratio of gross profit (or net profit) to sales revenue. The first method reflects changes in pricing policy and the ability of the enterprise to control the cost of sales of products, i.e. that part of the funds that is necessary to pay current expenses. The dynamics of the coefficient may indicate the need to revise prices or strengthen control over the use of inventories. When calculating the net profit indicator, it is established how many monetary units of net profit were brought in by each unit of sold products.

Product profitability can be calculated for all products sold and for individual types. In the first case, it is defined as the ratio of profit from the sale of products to the costs of its production and sale. The profitability of all products sold is also calculated as the ratio of profit from sales commercial products to revenue from sales of products.

Profitability indicators for all products sold provide an idea of ​​efficiency running costs enterprises and the profitability of products sold.

In the second case, profitability is calculated individual species products. It depends on the price at which the product is sold to the consumer, and the cost of this type of product.

The return on long-term financial investments shows the effectiveness of an enterprise's investments in the activities of other organizations. Calculated as the ratio of the amount of income from securities and equity participation in other enterprises to the total volume of long-term financial investments.

The rules for the formation in accounting of information about the income of enterprises (except for credit and insurance organizations) that are legal entities under the legislation of the Russian Federation are established by PBU 9/99.
For the purpose of accounting, the income of an enterprise, depending on its nature, conditions for receipt and areas of activity, is divided into

income from common species activities;

operating income;

non-operating income and

extraordinary income.
Income other than income from ordinary activities, as well as extraordinary income, are considered other income.
Income from ordinary activities is revenue from sales of products and goods, receipts associated with the performance of work, provision of services (hereinafter referred to as revenue).
In organizations whose subject of activity is the provision for a fee for temporary use (temporary possession and use) of their assets under a lease agreement, rights arising from patents for inventions, industrial designs and other types intellectual property, participation in authorized capitals other organizations, income from ordinary activities (revenue) is considered to be receipts the receipt of which is associated with listed species activities.

Operating income is:

receipts related to the provision of enterprise assets for temporary use for a fee

receipts related to the provision for a fee of rights arising from patents for inventions, industrial designs and other types of intellectual property;

receipts related to participation in the authorized capitals of other organizations (including interest and other income on securities);

profit received by the enterprise as a result joint activities(under a simple partnership agreement);

proceeds from the sale of fixed assets and other assets other than cash (except foreign currency), products, goods;

interest received for the provision of an enterprise's funds for use, as well as interest for the bank's use of funds held in the enterprise's account with this bank.

Non-operating income is:

fines, penalties, penalties for violation of contract terms;

assets received free of charge, including under a gift agreement;

proceeds to compensate for losses caused to the organization;

profit of previous years identified in the reporting year;

amounts of accounts payable and depositors for which the term has expired limitation period;

exchange differences;

Extraordinary income is considered to be income arising as a consequence of emergency circumstances economic activity ( natural disaster, fire, accident, nationalization, etc.): insurance compensation, the cost of material assets remaining from write-off unsuitable for restoration and further use assets, etc.
The procedure for determining the income of an enterprise and its classification for profit tax purposes is reflected in Art. 248 Tax Code RF (Tax Code of the Russian Federation), according to which income is divided into:

income from the sale of goods (works, services) and property rights(income from sales);

non-operating income.

Profit planning - component financial planning And important area in the financial and economic work of the enterprise

The main methods of profit planning are:

direct calculation method;

analytical method;

combined calculation method.

The direct calculation method is most common in enterprises, usually with a small range of products. According to this method, profit is calculated as the difference between revenue from sales of products in prices (less VAT and excise taxes) and the full cost.

The planned profit (P) is calculated using the formula:

P = (V * C) – (V * C),

where B is the output of commercial products in the planned period in in kind;

P – price per unit (excluding VAT and excise taxes);

C is the total cost per unit of production.

The analytical method of profit planning is used with a large range of products, and also as a supplement to direct method, since it allows you to identify the influence of individual factors on planned profit.

Profit is calculated as follows:

the basic profitability (the ratio of profit to cost) of comparable commercial products for reporting year;

calculating the volume of marketable products and determining the profit on marketable products based on basic profitability;

taking into account the impact of various factors on the planned profit: reducing costs, improving the quality and grade of products, changing the range, prices, etc.

The combined calculation method involves the use of elements of the first and second methods. Thus, the cost of marketable products in the prices of the planned year and at the cost of the reporting year is determined by the direct calculation method, and the impact on the planned profit of such factors as changes in costs, improved quality, changes in assortment, prices, etc. is identified using the analytical method.

The proceeds received into the company's current account are immediately used to pay bills from suppliers of raw materials, materials, components, semi-finished products, spare parts, fuel, and energy. From the proceeds, taxes are deducted to the budget, deductions are made to off-budget funds, payment wages V deadlines, depreciation of fixed production assets is reimbursed, expenses envisaged are financed financial plan and not included in the cost of production. Proceeds from the sale of products are not income in the full sense of the word, since it is first of all necessary to reimburse the costs incurred and pay wages.

The remaining portion of the proceeds will take the form of the enterprise's net income, i.e. profit.

Profit is monetary value the bulk of cash savings, created by enterprises any form of ownership

An economic entity, as a rule, aims to make a profit, but does not always make it. In the goods market, enterprises act as relatively isolated commodity producers. Having set the price for the product, they sell it to the consumer, thereby receiving income, which does not mean making a profit. To identify the financial result from the sale of products, it is necessary to compare gross income with gross costs of production and circulation, which take the form of production costs. When gross income exceeds gross expenses, the financial result indicates a profit. If gross income is equal to gross expenses, then only the costs of production and sale of products are reimbursed. The sale took place without losses, but there was no profit as a source of production, scientific, technical and social development. When gross expenses exceed gross income, the enterprise receives losses - a negative financial result, which puts it in a rather difficult situation. financial position, which does not exclude bankruptcy.

Thus, profit as an economic category reflects the net income created in the sphere of material production in the process of economic and commercial activities.

Financial relations permeate the life of society, and become successful person Today it is impossible without understanding the essence of the most important economic categories. The concepts of “revenue” and “income” are often confused even by novice businessmen, since in the mass consciousness they are synonymous. In fact, it is very important to understand the difference between them, which will allow you to analyze any economic information more deeply.

Revenue– the amount of money received from the sale of a product or service. It can also be called “dirty” money, since costs are not subtracted when calculating the value. Revenue is always either positive or zero, but can never be negative. It is determined either by the cash method (if actual receipt cash), or by accrual (at the time of shipment of goods or provision of services, including with deferred payment).

Income – cash received by the subject of economic legal relations for certain period time. They are formed due to the main activities of the legal or individual, as well as with the help of attracted investments. The concept of “income” largely overlaps with the concept of “profit” and is determined by “pure money”: revenue minus expenses. This is a purely economic category that reflects the current financial condition legal or natural person.

Comparison

So, revenue is a positive quantity, which is only in rare cases may be equal to zero. Receipts are added together to form a certain amount. Income can be negative when the revenue received does not cover the costs of obtaining it. Revenue is generated through the main activities of the enterprise: production (sale) of products or provision of services. Income can be obtained from the company’s assets (renting space, deposits, attracting investments), as well as from core activities (sale of goods and services).

At the same time, revenue is an attribute of an entity actively working in the economic sector. The income may be from a person who, for one reason or another, is not engaged in socially useful activities (student, disabled person, pensioner, unemployed). These funds are generally not taxed. income tax. In rare cases, revenue may be equal to profit. This happens in cases where upon receipt there is no expenditure part(provision of a certain list of services). However, most often it is revenue that exceeds income in terms of volume.

Conclusions website

1. Formation. The organization’s revenue comes from the sale of goods and services, and income also comes from the sale of shares, attracting investments, and receiving interest on funds placed in a deposit account.
2. Method of origin. The proceeds can only be from an individual or legal entity, leading economic activity. An unemployed person and a student can have income in the form of a scholarship, financial assistance, benefits.
3. Calculus. Revenue is money received from the sale of goods and services. To calculate income, expenses are subtracted from revenue.
4. Meaning. Revenue is either zero or positive. Income can be negative if the costs of generating revenue exceed the profit received.
5. Ratio. Revenue is always greater than income, and only in rare cases can they be equal.