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R

Retained Profits

When a business makes a profit it can decide whether to take that money out of the business as a salary or a dividend similarly they can decide to reinvest it back into the business to expand or buy new equipment etc.


Revenue expenditure

The money spent by a business while operating day to day. A few examples of revenue expenditure include:

  • Rent
  • Heating and lighting
  • Salaries
  • Insurance

Revenue income

Money earned from the day-to-day operations of a business. Sources of revenue income include:

  • sales
  • rent received
  • commission
  • interest received
  • discount received.