Here is an explanation about the Google AdSense calculation formula to help new AdSense beginners to understand and optimize their AdSense revenues. - Click through rate (CTR): is the number of clicks an ad unit receives divided by the number of times the ad unit is shown (impressions). - Effective CPM (eCPM) : is the cost per 1000 impressions, CPM is a useful way to compare revenue across different channels and advertising programs. It is calculated by dividing total earnings by the number of impressions in thousands. - Impressions: represents the number of times an ad is displayed on Google or on sites or products in Google’s ad network. A page impression is counted each time an ad unit is displayed on a publisher’s site. Page impressions are used when calculating reports for AdSense publishers, rather than ad impressions - Clicks: the number of generated clicks by all your ads. - Earnings: is total money that would be given by Google AdSense for publishers who participate in their affiliate programs. - Earnings Per Click (EPC) : this is the average cost per click that would be given to publishers depends on the advertiser’s bid, sum of the click, page impressions. However, it’s still being a Google AdSense Secret. The formula for Google AdSense calculation is: CTR = (Clicks / Impressions) * 100 EPC = Earnings per Click eCPM = (Earnings / Impressions) * 1000 eCPM = CTR * EPC * 10 Earnings = eCPM * Impressions / 1000 Earnings = CTR * EPC * Impressions / 100 Example: I’ve got 31 clicks for 1700 impressions with an EPC of 0.05 $ CTR = (31 / 1700) * 100 = 1.82352 = 1.83 % eCPM = 1.82352 * 0.05 * 10 = 0.91176 = 0.92 $ eCPM = (1.55 / 1700) * 1000 = 0.9117 = 0.92 $ Earnings = 0.91176 * 1700 / 1000 = 1.549992 = 1.55 $ Earnings = 1.82352 * 0.05 * 1700 / 100 = 1.549992 = 1.55 $ Thanks for reading and welcome to my sites.