From the unit price, quantity sold, and discount, compute the net sales revenue after discounts.
Input Data
Results
At a glance:Net sales revenue is the gross sales (unit price times quantity) minus any discounts or returns.
Formula
salesRevenue = unitPrice × quantitySold − discount
$$\text{Sales Revenue} = (\text{Unit Price} \times \text{Quantity}) - \text{Discount}$$How to Use
- Enter the unit price and quantity sold.
- Enter the total discount (0 if none).
- Read the net sales revenue.
FAQ
What is the difference between sales revenue and profit?
Sales revenue (turnover) is the income from selling goods or services — the top line of the income statement. Profit is what remains after deducting all costs and expenses. High revenue does not mean high profit; if costs and expenses are also high, you can even lose money. Revenue only shows 'how much you sold'; for 'how much you earned', subtract cost of goods sold (gross profit) and operating expenses (operating profit).
Should the discount be an amount or a percentage?
This tool's 'discount' is a total amount (e.g. HK$5,000 total concession). If your discount is a percentage (e.g. 10% off), convert it first: discount amount = unit price × quantity × discount rate. Example: HK$100 × 500 × 10% = HK$5,000. Enter that in the discount field.
Does sales revenue equal cash received?
Not necessarily. Under accrual accounting, revenue is recognised when the transaction is completed (goods delivered or service provided), even if the customer has not paid (credit sale). So revenue is not the same as actual cash inflow — credit sales create receivables that become cash only on collection. For cash position, also look at the cash-flow statement and collections.
Why can high turnover still mean no profit?
Revenue and profit are different layers. Revenue answers 'how much did you sell' — a scale metric with no costs considered. Profit answers 'how much did you actually earn', layered as: revenue − COGS = gross profit; gross profit − operating expenses = operating profit; then after interest and tax = net profit. High turnover can still yield thin or negative profit if COGS and overhead are heavy (deep discounts, high rent/payroll). Two shops both at HK$1M turnover can earn HK$300k or HK$20k depending on cost control. So judge a business by profit margin and cost control, not turnover alone; pair this with the Gross Margin and Net Profit Margin calculators.
Is discount an amount or percentage, and do credit (unpaid) sales count as revenue?
Two practical points. First, the discount field is a total amount, not a percentage — if you have a percentage discount, convert it (unit price × quantity × rate) before entering; this works for percentage promos, fixed concessions or return offsets alike. Second, credit sales do count as revenue: under accrual basis, recognition depends on whether the transaction is completed, not whether cash is received, so a sale made but not yet paid is still revenue and creates a receivable. That means revenue is not actual cash inflow — a business can show strong revenue yet face cash-flow trouble if receivables are slow. Analyse cash flow and collections alongside revenue; pair this with the Sales Commission calculator.
Content review: Calculatorism Finance Team. Results are for reference only; please refer to the relevant authorities for the official figures.