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Average Revenue Calculator

LAST UPDATE: September 24th, 2020

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Definition – What is average revenue?

Average revenue is the average amount of revenue received for each item sold.

Formula – How to calculate average revenue

Average Revenue = Total Revenue / Quantity

Example

Total revenue is $500,000 and 400 units are produced.

Average Revenue = $500,000 / 400 = $1,250

Therefore, average revenue is $1,250 per unit.

Sources and more resources

EconomicsDiscussion.netAverage Revenue and Marginal Revenue calculation – a page that overviews the concept of Average Revenue.