What is estimated revenue?
The estimated revenue represents projected earnings for a given accounting period such as monthly, annual, quarterly. The amount of revenue is usually estimated from multiple sources during the accounting period.
How to calculate estimated revenue?
To calculate estimated revenue and create projection, you need to do the following steps:
- Define the number of sales you are going to sell in the next accounting period.
- Calculate income that you can achieve
- Calculate possible expenses in the next period
- Subtract expenses from income (projected values)
- You will get estimated revenue.
The term “estimated revenue” usually implies that final revenue will not be 100% accurate. So, for example, when youtube estimates revenue that you can get next month, it creates an estimated projection, but the final number will be different.
What is youtube’s estimated revenue?
Youtube’s estimated revenue is a projection of your payment based on estimated net revenue from ads on your videos. The youtube estimated revenue is usually 98% accurate. However, false clicks deduction and other adjustments are possible, and future revenue can be different.
How to find estimated revenue growth for an industry?
To find estimated revenue growth, do the following steps:
- First, in Excel, calculate Revenue Growth Rate by subtracting the first-month revenue from the second-month revenue.
- In the next step, divide the result by the first month’s revenue and multiply by 100.
- Then turn the number into a percentage.
- Do the same procedure every two months (any accounting period).
- Calculate estimated revenue growth as the average value of all percentage numbers