> What is sales revenue defined as?

What is sales revenue defined as?

Posted at: 2014-12-05 
You're referring to the gross sales or revenues of a company, or Top Line growth. It clarifies minor nuances between the sources of revenue, whether it's from selling a product, collecting interest or servicing an account.

The "top" reference relates to the fact that on a company's income statement, the first line at the top of the page is generally reserved for gross sales or revenue. A company that increases its revenues is said to be "growing its top line", or "generating top-line growth".

This contrasts with net income (or net earnings per share), which is usually the bottom line of the company's income statement.

Use Investopedia to define financial terms.

Gross Margin is "A company's total sales revenue minus its cost of goods sold, divided by the total sales revenue, expressed as a percentage. The gross margin represents the percent of total sales revenue that the company retains after incurring the direct costs associated with producing the goods and services sold by a company. The higher the percentage, the more the company retains on each dollar of sales to service its other costs and obligations."

http://www.investopedia.com/terms/g/gros...

Organic sales are the product of internal processes of a firm and are generated solely within the firm. Revenue streams resulting from mergers, takeovers, acquisitions and borrowing do not count towards organic sales since they are tied to activity outside the firm's internal finances.

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In a question, it says that a firm decides to max: [alpha]*profit + [1-alpha]*R, where R = sales revenue. If profit = p*Q(p) - cq - Fixedcost, then what should the new maximisation problem look like?