Enter the average daily sales and the price per sale ($) into the calculator to determine the Annual Revenue. ## Annual Revenue Formula The following formula is used to calculate the Annual Revenue. AR = DS * PPS * 365 • Where AR is the Annual Revenue ($)
• DS is the average daily sales
• PPS is the price per sale ($) To calculate the annual revenue, multiply the average daily sales by the price per sales, then multiply by 365. ## How to Calculate Annual Revenue? The following example problems outline how to calculate Annual Revenue. Example Problem #1: 1. First, determine the average daily sales. In this example, the average daily sales is given as 150. 2. Next, determine the price per sale ($). For this problem, the price per sale ($) is given as 2.5. 3. Finally, calculate the Annual Revenue using the equation above: AR = DS * PPS * 365 The values given above are inserted into the equation below: AR = 150 * 2.5 * 365 = 136,875 ($)

Example Problem #2:

The variables needed for this problem are provided below:

average daily sales = 675

price per sale ($) = 5.5 Entering these values and solving gives: AR = 675 * 5.5 * 365 = 1,355,062.5 ($)