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How to calculate Total revenue

The Total revenue formula, with plain worked examples you can check yourself.

Total revenue = P × Q

Worked examples

P = 8 · Q = 900Total revenue = 7,200
P = 15 · Q = 600Total revenue = 9,000
P = 20 · Q = 150Total revenue = 3,000

How to use it

  1. Write down the values for each letter in the formula.
  2. Do the brackets first, then divide or multiply.
  3. Check the units before you compare results.
  4. Compare the answer with last period or with a competitor to see if it is good or bad.

This formula belongs to Positioning & Pricing.

Related terms

RevenueValue propositionMarket segmentationPenetration pricingPrice skimmingCompetitive pricing

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