What is the definition of Total Revenue in the hotel industry?
Total Revenue mentions to the total sales prepared by a business. It thereby climaxes a business’s capability to sell products and amenities, but it does not disclose if a corporation is able to raid a profit.
It is the corporation’s revenue minus the cost of goods sold (COGS). In this case it is also mentioned to as gross income and, when articulated as a percentage of income, gross margin. Gross Revenue can be found on the top line of a corporation’s income declaration. In order to evaluate the Gross Revenue, together the total value of all sales must be additional together.
- Gross Revenue = Total Income – Cost of Goods Sold