Revenue and Expenditure

Revenue refers to the money an organization or government earns, such as from taxes, sales, or services. Expenditure is the money spent to operate, maintain, and improve programs, infrastructure, or services. Together, they help determine financial health: revenue funds activities, while expenditure is the cost of those activities. Managing the balance ensures sustainability; if spending exceeds income, it can lead to debt or financial trouble. Essentially, revenue is the income coming in, and expenditure is the outflow used to meet goals and obligations.