Average Revenue (AR)
Average revenue is revenue per unit sold, calculated by dividing total revenue by quantity sold.
Accounting terms for average revenue, incremental revenue, net sales, revenue growth, and turnover.
Revenue, Sales, and Turnover Metrics covers average revenue, incremental revenue, net sales, revenue growth, and turnover.
Use these pages when cost classification or operating metrics change margin analysis, pricing, budgeting, capacity decisions, or performance review. It sits inside Revenue, Pricing, and Operating Metrics, so readers can move up when the broader accounting context matters.
Use the table below to choose the narrower accounting branch before applying a term to a statement line, model input, audit trail, tax schedule, covenant test, or management report.
| Area | Use it for |
|---|---|
| Average Revenue (AR) | Average revenue is revenue per unit sold, calculated by dividing total revenue by quantity sold. |
| Average Revenue Product (ARP) | Average revenue product measures revenue generated per unit of input, often labor or productive capacity. |
| Incremental Revenue | Incremental revenue is the additional revenue generated by a new decision, customer, product, campaign, or action. |
| Net Sales | Net sales are gross sales reduced by returns, allowances, discounts, and other sales deductions. |
| Revenue Growth | Revenue growth refers to the increase in a company’s sales over a specific period, indicating its ability to expand its market and improve its financial performance. |
| Turnover | Turnover covers sales turnover, asset turnover, operating turnover in business, and market trading activity across finance and accounting. |
Cost-accounting content is educational and does not provide accounting, tax, audit, pricing, management, or investment advice.
Choose a subsection first. Deeper term pages live inside each subsection, which keeps large topic hubs readable.
Average revenue is revenue per unit sold, calculated by dividing total revenue by quantity sold.
Average revenue product measures revenue generated per unit of input, often labor or productive capacity.
Incremental revenue is the additional revenue generated by a new decision, customer, product, campaign, or action.
Net sales are gross sales reduced by returns, allowances, discounts, and other sales deductions.
Revenue growth refers to the increase in a company's sales over a specific period, indicating its ability to expand its market and improve its financial performance.
Turnover covers sales turnover, asset turnover, operating turnover in business, and market trading activity across finance and accounting.