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Operating versus Non-Operating Revenue

Distinguish between Operating versus Non-Operating Revenue?

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Operating versus Non-Operating Revenue:

Operating revenue is the result from sale of goods. When ABC Co. sells goods and receives $ 150000, then this amount will be operating revenue of ABC Co. however when Non-operating revenue is result from other sources or investments. Assume that, when similar company has invested certain amount in PQ Co. and obtains $ 10000 as dividend therefore this dividend will be termed as non operating revenue.

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