Total revenue is the total receipts of a firm from the sale of some given quantities of a product or service.
It can be calculated as the selling price of the firm's product or service times the quantity sold, i.e. total revenue = price × quantity, or letting TR be the total revenue function:
where Q is the quantity of output sold, and P(Q) is the inverse demand function (the demand function solved out for price in terms of quantity demanded).
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