What Is Revenue Per Available Seat Mile (RASM)? Revenue per available seat mile (RASM) is a unit of measurement commonly used to compare the efficiency of various airlines. It is obtained by dividing operating income by available seat miles (ASM). Generally, the higher the RASM, the more profitable the airline under question. Revenue is represented
What Is Revenue per Employee? Revenue per employee—calculated as a company’s total revenue divided by its current number of employees—is an important ratio that roughly measures how much money each employee generates for the firm. The revenue-per-employee ratio is most useful when looking at historical changes in a company’s own ratio or when comparing it
What Is Revenue Recognition? Revenue recognition is a generally accepted accounting principle (GAAP) that identifies the specific conditions in which revenue is recognized and determines how to account for it. Typically, revenue is recognized when a critical event has occurred, when a product or service has been delivered to a customer, and the dollar amount
What Is the Revenue Regulation Fund (RRF)? The term Revenue Regulation Fund (RRF) refers to a sovereign wealth fund (SWF) established and operated by the government of Algeria. Founded in 2000, it is formally known as the Fond de Regulation des Recettes. It was Africa’s largest sovereign wealth fund. The RRF is funded primarily by
What Is a Revenue Ruling? A revenue ruling is a public decree issued by the Internal Revenue Service (IRS) that essentially has the force of law. A revenue ruling outlines the IRS’s interpretation of the tax laws and is binding on all IRS employees and public taxpayers. Revenue rulings are published in the Internal Revenue
What Is the Revenue Act of 1862? The Revenue Act of 1862 was an expansion of the first U.S. income tax established under the previous Revenue Act of 1861. It was passed to raise additional federal revenue to fund the war against the Confederate States of America during the American Civil War. It is notable
What Is a Reversal? A reversal is a change in the price direction of an asset. A reversal can occur to the upside or downside. Following an uptrend, a reversal would be to the downside. Following a downtrend, a reversal would be to the upside. Reversals are based on overall price direction and are not
What Is a Reverse Auction? A reverse auction is a type of auction in which sellers bid for the prices at which they are willing to sell their goods and services. It is the opposite of a regular auction, where a seller puts up an item and buyers place bids until the close of the
What Is Reverse Culture Shock? Reverse culture shock is the emotional and psychological distress suffered by some people when they return home after a number of years overseas. This can result in unexpected difficulty in readjusting to the culture and values of the home country, now that the previously familiar has become unfamiliar. In a
What Is a Reverse Exchange? A reverse exchange in real estate is a type of property exchange wherein the replacement property is acquired first and then the current property is sold. A reverse exchange was created to help buyers purchase a new property before being forced to trade in or sell a current property. This
