The results of the economic activity of the enterprise (firm) and their assessment. Determination of the results of economic activity for the reporting period Economic activity results are used for
Pollution payments are a type of taxation in which the taxable amount is the mass of pollution, regardless of other results economic activity enterprises. Pollution payments cannot be considered complete
This section reflects in value terms all the results of economic activities of enterprises, associations. The financial plan is drawn up in the form of a balance of income and expenses and reflects income and receipts of funds, expenses and deductions of funds, relationships with the budget, credit relationships, profitability and profit distribution.
The orientation of the economy towards intensive methods of economic management and a sharp increase in production efficiency leads to especially high requirements for the choice of indicators that objectively reflect the final results of economic activities of enterprises.
Meanwhile, in order to improve the use of material means of production, it is necessary to link the results of the economic activity of the enterprise with the resources at its disposal. Therefore, in accordance with the decisions of the September (1965) Plenum of the Central Committee of the CPSU, the profitability of production was taken as the ratio of the amount of profit to the cost, g of the production assets of the enterprise. ft ---. -
The gigantic increase in the scale of socialist production, the complication of national economic ties, and the ongoing changes in the nature of labor and its organization impose increased demands on managers and engineers and technicians. Production managers and specialists must know technology, economics well, be able to analyze the results of economic activities of enterprises, correctly apply in practice the moral and material incentives of labor, and master the basics of scientific production management based on modern technology.
With directive cost accounting, all the main possibilities and results of the economic activity of the enterprise are rigidly programmed according to the top-down principle of administrative management based on the volumetric and normative tasks of central planning. The task of enterprises here is purely performing.
In addition, employees of the teams involved in the construction of well clusters are rewarded for the savings obtained from reducing the estimated cost of construction of the well cluster, regardless of the overall results of the economic activities of the enterprises. This premium is paid in excess of the established maximum premiums.
The final positive result of the economic activity of the enterprise is profit, and the negative result is a loss.
The first part of the textbook sets out the theoretical foundations of the analysis of economic activity as a system of generalized knowledge about the subject, method, tasks, methodology and organization of microeconomic analysis. The second part is devoted to the method of complex analysis of the results of economic activity of enterprises. The newest methods of analysis typical for a market economy are considered. A significant place is given to the presentation of the methods of financial analysis of the enterprise, taking into account the latest developments in this subject area. After each topic, questions and tasks are given to test and consolidate knowledge.
The third stage of the circuit (f - D) consists in the sale of manufactured products and receipt of funds. At this stage, the circulating capital moves from the production stage to the circulation stage and again takes the form of money. The interrupted circulation of commodities is resumed, and the advanced value from the commodity form passes into monetary. The advanced funds are recovered from the proceeds received from the sale of products. The difference between D and D is the amount of cash income and savings or the financial result of the economic activity of the enterprise. The monetary form that circulating capital takes at the final stage of the circulation is at the same time the initial stage of capital turnover.
Calculation and interpretation of financial ratios. Financial ratios represent two groups of indicators. The first group includes indicators that are determined on the basis of financial statements, characterizing the financial condition and results of economic activities of the enterprise. The second group includes indicators, for the determination of which, in addition, data from assessing the state of the enterprise and its shares in the financial markets are used.
The final effect from the use of intangible assets is expressed in the overall results of the economic activity of the enterprise
In ch. 16 indicated that each enterprise needs capital, first in the creation and construction of an enterprise, then in making investments in new equipment to replace obsolete ones (see Chapter 12), in maintaining the continuity of production, payment of wages, purchase of raw materials and materials, costs of selling products (This is discussed in detail in Chapter 13). Financing of these needs occurs both at the expense of their own (profit obtained through the implementation of various types of activities, depreciation deductions, proceeds from the sale of their own shares, etc.), and borrowed funds (loans, subsidies, etc.). In addition to these forms, there are special forms of financing leasing, factoring (see Chapter 16). The peculiarity of financing the needs of the enterprise lies in the fact that the inflows and outflows of monetary resources occur in time at different times and unequal in their value. Consequently, in order to ensure the stable and progressive development of the enterprise, it is necessary that the payment of all the above-mentioned needs occurs in a timely manner and in full, which can be achieved only if a balance (equilibrium) is achieved between the inflow and outflow of funds, both in time and in quantity. ... This balance is not the result of a purely mechanical setting of the timing of the inflows and outflows of financial resources as a result of the economic activity of the enterprise. It is based on the organization of production and sales of products, ensuring the achievement of such a financial condition of the enterprise and its solvency, which would allow it to function successfully and invest in the expansion of production. This is due to the fact that the financial condition of the enterprise and solvency are the result of its production, economic and commercial activities related to the sale of products at prices that bring it profit, on the one hand, and the ability to effectively manage its own and attracted capital, on the other hand. The enterprise constantly faces questions of where and when, in what amount the available financial resources should be invested, how to optimally distribute them according to production needs (Fig. 29.10).
financial position and results of economic activities of the enterprise.
We need your support to move to the new system. At the same time, I would like to use the same data that enter our accounting department now, but in a different form. The cost benefit accounts need to be rearranged so that the data that matters to the enterprise is captured in a more concise and focused form. To do this, you must support us in resolving this issue, and also agree that some accounts should be kept unchanged for comparison over a number of years. We need your help in building a reconciliation bridge, which is transferred from the results of the company's economic activities to the results that we get in the accounting department in the profit and loss account.
In self-governing / situational / cost accounting, all the main possibilities and results of the economic activity of an enterprise are determined by itself on the basis of self-planning of voluminous and normative tasks under the influence of situational / market / realities of freedom of economic choice, subject to certain mandatory conditions of state regulation of non-market parameters of the enterprise's activities / legal, social, economic, environmental, etc. /.
V. p. Is calculated in the industry average wholesale prices. ... VB. .new conditions of planning and economic incentives, when the assessment of the results of economic activities of enterprises is carried out not according to the indicator) g, p., but according to the indicator
KZ - by the type of change in obligations - divides all the facts into leading 1) to the emergence of obligations, for example, the posting by the storekeeper of materials received from the suppliers, leads to the emergence of obligations towards the enterprise from the custodian agent (storekeeper) for the values taken by him for material responsibility and from the enterprise to the correspondent-supplier for the materials received but not yet paid by the enterprise 2) to the termination of obligations, for example, when the materials are released into production, the storekeeper for the amount of the released materials relinquishes material responsibility for them in the same way when the enterprise pays the supplier's invoices for the materials received from them, it extinguishes its obligations to the latter 3) to change (the emergence of some and the transformation of others) obligations, which can be quantitative (volumetric) and qualitative in the first case, the obligation remains, but its volume changes, for example, as a result of a change prices change the volume of liabilities to the enterprise, and the volume of liabilities in monetary terms changes, while remaining unchanged in kind in the second case, the volume of liabilities remains the same, but its nature changes, for example, a custodian agent (storekeeper) bears obligations to the enterprise for material assets in the amount of X rubles. , when checking, a shortage of Y rubles is revealed, the volume of obligations of the financially responsible person has remained unchanged and is A rubles, but the nature of these reviews has changed. Now the storekeeper - the financially responsible person bears an obligation for material values in the amount of X-Y rubles. and, in addition, undertakes to compensate for the shortfall in Y rubles. (in this case, the shortage in part or in full can be attributed to the results of the economic activity of the enterprise). Classify
The conclusion by the owners of the enterprise of civil law contracts with the leading managers of the enterprise, ensuring the material responsibility of managers for the results of the economic activity of the enterprise Information of the enterprise -
Criterion 4.8. Conclusion between the enterprise and its leading managers of civil law contracts ensuring material liability
As a result of the economic activity of the enterprise, a profit (accumulation) is created.
Representing a net increase in the total amount of funds as a whole, accumulation can be identified only in monetary value as a generalizing measure of economic activity. Therefore, accumulation is usually called financial result of economic activity, those. the result, expressed in monetary terms.
Profit can only be revealed by accounting. The latter, firstly, calculates the amount of accumulated savings as the financial result of the enterprise, secondly, takes into account the calculated accumulation as one of the sources of funds and, thirdly, reflects the distribution of profits at the end of the year.
Hence, object accounting is profit as a financial result of the economic activity of the enterprise.
general characteristics accounting subject
Consideration of the elements of the economic activity of the enterprise showed that each of them is reflected in the accounting and thus is the object of the latter.These objects also include the circulation of funds caused by economic processes, and accumulation as a result of the economic activity of the enterprise. In this way, specific objects of accounting are:
2) labor costs and labor remuneration;
3) settlement and credit relations;
4) business operations and processes and the circulation of funds caused by them;
5) profit (accumulation) as a result of the economic activity of the enterprise.
Some of these objects, having an independent meaning in detailed indicators, find their generalized expression in the aggregated accounting indicators in the composition of other objects.
So, labor costs receive a generalized expression in the composition of funds (work in progress), and wages - in the form of wage arrears to workers and employees - in the composition of sources. Settlement and credit relations are expressed in the form of accounts receivable as part of funds, and in the form of accounts payable as part of sources. Accumulation, being one of the sources of the formation of funds, is also a part of the sources. The circulation of funds caused by economic processes is expressed in the implementation of these processes. In the same way, operations, being elements of processes, find their generalized expression in the latter.
Hence, we come to the conclusion that all accounting objects can be summarized in two main objects:
1) household assets and their sources;
2) business processes.
It is understood that funds and sources as objects of accounting reflect in their generalized indicators also labor and its payment, settlement and credit relations and savings, and business processes - operations and the circulation of funds.
General concept of accounting method
From the above characteristics of the elements of economic activity as objects of accounting, the following characteristic features of the subject of this accounting follow.
First, the economic content the totality of funds enterprises are identified in economic activities twofold: a) in their placement and use; b) in their sources and destination. Therefore, accounting requires a generalized reflection of the state of funds in two groups, i.e. separate media and separate sources.
Secondly, according to their composition, the means and sources are divided into groups, each of which has its own special economic content and purpose.
Third, changes in funds and sources caused by operations are double and interconnected. Therefore, in accounting, these changes require double interrelated reflection.
Fourthly, economic activity is continuous chain of operations, constantly changing means and sources, therefore, “accounting requires a continuous continuous coverage of all transactions.
The specified features of the subject of accounting also determine the ways in which this accounting reflects economic activity.
1. A generalized reflection of the state of funds in two groups - funds and sources - is given periodically with the help of, balance.
2. The division of funds and sources into groups and the current accounting of each group is carried out using accounts
3. The reflection of double interrelated changes in funds and sources caused by operations is performed using double entry.
4. Continuous continuous coverage of all operations is carried out. with help documentation.
In this way, the main ways of reflecting the economic activities of enterprises that are part of the accounting method I'm in There are: balance, accounts, double entry, documentation.
In practice, accounting is carried out in this order: first, transactions are recorded in documents, then, based on the documents, double interrelated entries are made on the accounts and, finally, a balance is drawn up on the basis of the accounts.
Balance concept
Characteristics b alance
First, it has two parts: one of them is called ". asset (active, active - lat. and the other is passive (passive, inactive - lat.). The asset shows funds, and the liability shows sources
Thus, the funds of the enterprise in accordance with their economic content is received in the balance sheet double reflection: by placement and use - in an asset, by sources and purpose - in a liability.
Asset Passive
Secondly, both funds and sources are shown in the banner in grouped form, (Fixed assets. Materials, Share capital etc.).
Thirdly, the funds receive their quantitative expression in the balance sheet in monetary meter. This allows for a generalized reflection of funds.
Fourthly, the funds are shown in the balance sheet according to their state at a certain moment. In our example - on January 1, 200.
The equality of the totals of the asset and liability is one of the main features of the balance(from Lat. - two-piece scales) and serves as an indispensable condition for its correct compilation.
Hence, the balance sheet as one of the main elements of the accounting method can be briefly described as follows: the balance sheet is a method of generalized reflection at a certain point in the monetary value of the economic assets of the enterprise in their double grouping: by placement and use; by source and destination.
Balance form.
The balance is depicted in the form of a special table, divided into two parts vertically. On the left - an asset is placed, and on the right - a liability (Distribute Balance Table 15)
In the header of the balance sheet, the words balance are placed (indicating the name of the company and the date). The word asset headlines the left side of the table, in which funds are placed, and the word liabilities - in the right side, where sources are placed, no other words are written.
Each group of funds or sources is shown in the balance sheet under a special name and is expressed as a separate amount, it is called a balance sheet item. Ex. materials, authorized capital.
If it is necessary to show private amounts in the balance sheet individual groups articles, then the balance sheet can be assigned to assets and liabilities in two columns for the amounts of private and general.
Profit and income are the main metrics financial results production and economic activities of the enterprise.
Income is the proceeds from the sale of products (works, services) minus material costs.
It represents the monetary form of the enterprise's net output, i.e. includes wages and profits.
Income characterizes the total amount of funds that comes to the enterprise for a certain period and, net of taxes, can be used for consumption and investment. Income is sometimes subject to taxation. In this case, after deducting tax, it is subdivided into consumption funds, investment and insurance. The consumption fund is used for remuneration of personnel and payments based on the results of work for a certain period, for a share in the authorized property (dividends), material assistance, etc.
The material costs include the costs included in the corresponding element of the production cost estimate, as well as the costs equated to them for: depreciation of fixed assets, deductions for social needs, as well as "other costs", i.e. all elements of the production cost estimate excluding labor costs.
Profit is the portion of revenue that remains after all production and marketing costs have been reimbursed.
In a market economy, profit is one of the main sources of accumulation and replenishment of the revenue side of the state and local budgets; the main financial source for the development of the enterprise, its investment and innovation activities, as well as a source of satisfaction of the material interests of members labor collective and the owner of the enterprise.
The amount of profit (income) is significantly influenced by both the volume of products and their assortment, quality, cost, improvement in pricing and other factors. In turn, the profit affects such indicators as profitability, solvency of the enterprise and others.
The total profit of the enterprise (gross profit) consists of three parts:
- profit from product sales- as the difference between the proceeds from the sale of products (excluding VAT and excise duty) and its full cost;
- profits for the sale of material values and other property(this is the difference between the selling price and the purchase and sale costs). The profit from the sale of fixed assets will represent the difference between the proceeds from the sale, the residual value and the costs of dismantling and selling;
- profits from non-operating transactions, i.e. operations not directly related to the main activity (income from securities, from equity participation in joint ventures; leasing property; excess of the amount of received fines over paid, etc.).
Gross income- the total amount of the enterprise's income from all types of activities in monetary, material or non-material forms. Distribution- reimbursement of material costs, wear and tear of the main production funds; taxes and other obligations. payments; salary and deductions for social needs; financing of other expenses; profit.
Profitability of resources and products
Unlike profit, which shows the absolute effect of activities, there is a relative indicator of the efficiency of the enterprise - profitability. V general view it is calculated as the ratio of profit to costs and is expressed as a percentage. The term is from annuity (income). Profitability indicators are used to comparative evaluation the efficiency of individual enterprises and industries producing different volumes and types of products. These indicators characterize the received profit in relation to the expended production resources. The most commonly used indicators are product profitability and production profitability.
There are the following types of profitability:
1) profitability of production (profitability of production assets) - Rp, calculated by the formula:
where P- total (gross) profit for the year (or other period);
OFP- the average annual cost of fixed assets;
NOSE- the average annual balance of normalized working capital.
2) product profitability Rprod. characterizes the cost-effectiveness of its production and marketing:
where Etc- profit from the sale of products (works, services);
Wed- full cost of goods sold;
Financial results of economic activities of the organization
Coursework on the discipline "Finance and Credit"
2.3 ... Determination of the financial results of the enterprise. Basic indicators of economic analysis …………… ... ………………………… .. ………………………………………………… ... …… .9
2.4 ... The financial statements of the enterprise …………………………………………… .. …… ..... 11
2.4.1. Elements and currency of financial statements in international standards…. …… 11
2.4.2. Financial analysis in international standards …………………………………… .12
3.1. Sources of capital growth …………………………………………………………… .. ……… ... 14
3.2.1. Content of accounting policies ………………………………………………………… .17
3.2.2 ... Assessment method material resources………………………………………………….17
3.2.3. Methods for calculating the depreciation of low-value and wearing out items ... ..18
3.2.4. Accounting for the cost of repairing fixed assets ……………………………………… ..… 20
3.2.5. Methods for grouping and including costs in the cost of goods and products sold …………………………………………………………………………………… .. ……… 20
3.2.6 ... Methods for determining revenue from the sale of goods, products, works, services for tax purposes ………………………………………………………………………………… 22
4. Control of the results of the financial and economic activities of the enterprise ………………… ... 24
4.1. Objectives of control over the results of the enterprise's activity .............................................. 24
4.2 ... Tasks of control of the results of the enterprise's activity ……………………………………… ..24
4.3. Model of control over the results of the enterprise's activity ……………………………… ... …… ..25
4.4 ... The general scheme of the technology for monitoring the results of the enterprise's activity ……………… ...… 27
4.4.1 ... Determination of benchmarks and values ……………………………… ...… ..27
4.4.2. Detection of deviations …………………………………………………………… ..… .28
4.4.3. deviation analysis ……………………………………………………………………… ..30
5. Assessment of the financial results of the enterprise (for example, ZAO Uralselenergoproekt) ………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………
5.1. Dynamics and structure of the company's financial results and profit analysis by factors …………………………………………………………………………………… .. ……… ... 31
5.2. Optimization of production volume, profit and costs in the system
direct costing …………………………………………………………………………………… ..… .35
6. Conclusion …………………………………………………………………………………… ...… ..47
7. List of used literature ………………………………………………………… ... …… 48
1. Introduction
In a market economy, the efficiency of production, investment and financial activities is expressed in financial results.
In market conditions, each economic entity acts as a separate commodity producer, which is economically and legally independent. An economic entity independently chooses a business area, forms a product range, determines costs, forms prices, takes into account sales proceeds, and therefore identifies profit or loss based on the results of activities. In market conditions, making a profit is the direct goal of a business entity's production. The implementation of this goal is possible only if the business entity produces products (works, services) that, in terms of their consumer properties, correspond to the needs of society. Society does not need ruble equivalents, but specific commodity-material values. The act of selling a product (works, services) also means public recognition. Receipt of proceeds for manufactured and sold products does not mean making a profit. To identify the financial result, it is necessary to compare the proceeds with the costs of production and sale:
The essence of the activity of each enterprise determines the features of its functioning, the content and structure of assets, especially fixed assets; forms a significant part of the final financial result.
A stable financial position has a positive effect on the implementation of production plans and the provision of production needs with the necessary resources. Therefore, financial activities like component economic activity is aimed at ensuring the planned receipt and expenditure of monetary resources, the implementation of calculation discipline, the achievement of rational proportions of equity and debt capital and the most efficient use of it.
Thus, consideration of the essence and formation of the financial results of an economic entity is important and relevant in a market economy.
The relevance of this issue determines the choice of topic and the content of this work.
The aim of the work is to study the essence, structure and formation of the financial results of the enterprise.
In accordance with the set goal, the following tasks are to be solved:
Consider the theoretical aspects of the economic content of financial results;
The financial results of the enterprise as a guarantee of the successful operation of the enterprise;
Analyze the financial results at a separate enterprise ZAO Uralselenergoproekt.
2. Organization of company finances
An enterprise is an independent economic entity created to conduct economic activities, which are carried out in order to generate profits and meet social needs.
The enterprise is usually legal entity, which is determined by a set of signs: the isolation of property, liability for obligations with this property, the presence of a current account in the bank, actions on its own behalf. The isolation of property is expressed by the presence of an independent balance sheet on which it is listed.
The content of the economic activity of the enterprise consists in organizing the production and sale of goods. In this capacity, products that have a natural-material character (for example, products of the mining, processing and processing industries, Agriculture, construction), performance of work (industrial, installation, design and survey, geological exploration, research, loading and unloading, etc.) the provision of services (transport, communication services, utilities, household, etc.).
The company interacts with other enterprises - suppliers and buyers, partners in joint activities, participates in unions and associations, as a founder contributes to the formation of the authorized capital, enters into relationships with banks, the budget, extra-budgetary funds, etc.
Financial relations arise only when the formation of own funds the enterprise and its income, attraction of borrowed sources of financing of economic activity, distribution of income generated as a result of this activity, and their use for the development of the enterprise.
The organization of economic activity requires appropriate financial support, that is, the initial capital, which is formed on the contributions of the founders of the enterprise and takes the form of authorized capital. This is the most important source of the formation of the property of any enterprise. The specific methods of forming the authorized capital depend on the organizational and legal form of the enterprise.
When creating an enterprise authorized capital is directed to the acquisition of fixed assets and the formation of working capital in the amount necessary for the conduct of normal production and economic activities, is invested in the acquisition of licenses, patents, know-how, the use of which is an important income-generating factor. Thus, the initial capital is invested in production, in the process of which value is created, expressed in the price of products sold. After the sale of products, it takes a monetary form - the form of proceeds from the sale of manufactured goods, which goes to the settlement account of the enterprise.
Revenue is a source of reimbursement of funds spent on the production of products and the formation of funds and financial reserves of the enterprise. As a result of using the proceeds, qualitatively different components of the created value are distinguished from it.
First of all, this is due to the formation of the depreciation fund, which is formed in the form of depreciation deductions after the depreciation of fixed production assets and intangible assets takes on a monetary form. A prerequisite for the formation of a depreciation fund is the sale of manufactured goods to the consumer and the receipt of proceeds.
The material basis of the created product is made up of raw materials, materials, purchased components and semi-finished products. Their cost, along with other material costs, wear and tear of fixed assets, wages workers are the costs of the enterprise for the production of products, which take the form of cost. Before the receipt of proceeds, these costs are financed from the working capital of the enterprise, which are not spent, but advanced into production. After receipt of proceeds from the sale of goods working capital are restored, and the costs incurred by the enterprise for the production of products are reimbursed.
Separation of costs in the form of cost makes it possible to compare the proceeds received from the sale of products and the costs incurred. The purpose of investing in the production of products is to obtain a net income, and if the revenue exceeds the cost, then the company receives it in the form of profit.
Profit and depreciation deductions are the result of the circulation of funds invested in production, and refer to the company's own financial resources, which it manages independently. Optimal use of depreciation and profit for the intended purpose allows you to resume production on an extended basis.
The purpose of amortization deductions is to ensure the reproduction of fixed assets and intangible assets. Unlike depreciation deductions, profit does not remain completely at the disposal of the enterprise, its significant part in the form of taxes goes to the budget, which determines another area of financial relations that arise between the enterprise and the state regarding the distribution of the created net income.
The profit remaining at the disposal of the enterprise is a multi-purpose source of financing its needs, but the main directions of its use can be defined as accumulation and consumption. The proportions of the distribution of profit for accumulation and consumption determine the prospects for the development of the enterprise. Depreciation deductions and part of the profit allocated for accumulation are monetary resources enterprises used for its production and scientific and technical development and formation of financial assets - the purchase of securities, contributions to the authorized capital of other enterprises, etc. the other part of the profit used for accumulation is directed to the social development of the enterprise. A part of the profit is used for consumption, as a result of which financial relations arise between the enterprise and persons, both employed and not employed in the enterprise.
V modern conditions management, the distribution and use of depreciation charges and profits at enterprises are not always accompanied by the formation of separate monetary funds. The amortization fund as such is not formed, and the decision on the distribution of profits to special purpose funds remains within the competence of the enterprise, but this does not change the essence of the distribution processes reflecting the use of the enterprise's financial resources.
The objective nature of financial relations arising from the implementation of economic activities does not exclude their state regulation. This applies to taxes levied on enterprises and affecting the amount of profit remaining at the disposal of enterprises, the procedure for calculating depreciation, the formation of financial results of economic activities and the formation of some financial reserves.
On the basis of repayment, the enterprise attracts borrowed financial resources: long-term loans from banks, funds from other enterprises, bonded loans, the return source of which is the enterprise's profit.
Since the finances of enterprises as a relationship are part of economic relations arising in the process of economic activity, the principles of their organization are determined by the foundations of the economic activity of enterprises. Based on this, the principles of organizing finance can be formulated as follows: independence in the field of financial activities, self-financing, interest in the results of financial and economic activities, responsibility for its results, control over the financial and economic activities of the enterprise.
The economic activity of the enterprise is inextricably linked with its financial activities. The enterprise independently finances all areas of its expenses in accordance with production plans, disposes of the available financial resources, investing them in the production of products in order to make a profit.
The directions of investment of funds can be different: associated with both the main activities of the enterprise for the production of products (works, services), and with purely financial investments. For getting additional income enterprises have the right to acquire securities of other enterprises and the state, invest in the authorized capital of newly formed enterprises and banks. Temporarily free funds of the enterprise can be isolated from the total money turnover and placed in the bank on deposit accounts.
2.2. Profit - the financial result of the enterprise
The efficiency of production, investment and financial activities is expressed in financial results.
To identify the financial result, it is necessary to compare the revenue with the costs of production and sale: when the revenue exceeds the costs, then the financial result indicates a profit. With the equality of proceeds and costs, it is only possible to reimburse costs - there is no profit, and therefore, there is no basis for the development of an economic entity. When costs exceed revenues, a business entity suffers losses - this is an area of critical risk, which puts the business entity in a critical financial position that does not exclude bankruptcy. Losses highlight errors, miscalculations in the directions of the use of financial means of organizing production, management and sales of products.
Profit reflects a positive financial result. The desire to make a profit orients commodity producers to increase the volume of production, reduce costs. This ensures the implementation of not only the goals of the business entity, but also the goals of society - the satisfaction of social needs. Profit signals where the greatest increase in value can be achieved, and creates an incentive to invest in these areas.
Profit is a surplus product produced and necessarily realized. It is created at all stages of the reproductive cycle, but it receives its specific form at the stage of implementation. Profit is the main form of net income (along with excise taxes and VAT).
The amount of profit and its dynamics are influenced by factors both dependent and not dependent on the efforts of an economic entity.
The factors of the internal environment are studied and taken into account in business practice, they can be influenced in terms of increasing profits. Internal factors include: the level of management, the competence of the manager, the competitiveness of products, wages, the level of prices for products sold, the organization of production and labor.
External factors are practically outside the sphere of influence: the level of prices for consumed resources, the competitive environment, barriers to entry, the tax system, government agencies, political, social, cultural, religious and others.
The amount of profit depends on the areas of activity of an economic entity: production, commercial, technical, financial and social.
Profit as a result, financial activities perform certain functions. Profit reflects the economic effect obtained as a result of the activities of a business entity. It forms the basis of the economic development of a business entity. The growth of profits creates a financial basis for self-financing, expanded reproduction, solving problems of the social and material nature of the work collective. At the expense of profit, the obligations of enterprises (firms) to the budget, banks and other organizations are fulfilled. Profit is not only a financial result, but also the main element of financial resources. Hence it follows that profit performs reproductive, stimulating and distributive functions. It characterizes the degree of business activity and financial well-being of the enterprise. Profit determines the level of return of the advanced funds in the return on investment in assets.
In the conditions of market relations, a business entity should strive, if not to obtain the maximum profit, then to the profit that will ensure the dynamic development of production in a competitive environment, will allow it to maintain its position in the market for this product, and ensure its survival. The solution of these problems presupposes not only knowledge of the sources of profit formation, but also the determination of methods for their optimal use. Profit management acts as one of the two basic directions of financial policy and aims to maximize income from available sources of financial results while expanding general nomenclature these sources.
Making a profit is possible due to the monopoly position or the uniqueness of the product on the market of a particular product. The implementation of this source is possible due to the constant updating of the product and retention of the share of production and sales. However, one should take into account the influence of such factors as growing competition from other business entities and the antimonopoly policy of the state.
Profit making, which concerns almost all enterprises and firms, is associated with production and entrepreneurial activities. The implementation of this source is possible under the appropriate conditions of today, marketing research of the market. The amount of profit in this case depends on the correct choice of business, on the creation of competitive conditions for the sale of goods, on the volume of production, on the size and structure of production costs.
In modern conditions, the most important source of increasing profits is innovation. The implementation of this source involves constant work to change the consumer properties of products, works and services.
V individual cases enterprises can also receive a loss, which is the result of mismanagement, low level of economic work.
Profit and loss characterize the financial result of the enterprise and can be determined only in the accounting system.
Financial result - the final economic result of the economic activity of the enterprise is expressed in the form of profit or loss. The procedure for determining profits is regulated by the Law of the Russian Federation "On Tax on Profits of Enterprises and Organizations".
2.3. Determination of the financial results of the enterprise. Basic indicators of economic analysis
The financial results of the enterprise are evaluated using absolute and relative indicators. The absolute indicators include: profit (loss) from the sale of products (works, services); profit (loss) from other sales; income and expenses from non-sale transactions; balance sheet (gross) profit; net profit.
Various ratios of profit and costs (or invested capital - equity, debt, investment, etc.) are used as relative indicators. This group of indicators is also called profitability indicators. The economic meaning of profitability indicators is that they characterize the profit received from each ruble of capital (equity or debt) invested in the enterprise.
Further, in this paragraph of the course work, it will be shown that the financial results of the enterprise, in addition to production, also depend on the results investment activities, financial transactions, adjustments that do not reflect cash flows, methods and procedures of accounting policies chosen in the current period and other factors.
First, let's name the main financial results, determined by absolute values. Revenues from sales(gross income) - the overall financial result from the sale of products (works, services). According to Russian regulatory documents, it includes: proceeds (income) from the sale of finished products, semi-finished products of our own production; works and services; construction, research work; goods purchased for subsequent sale; services for the transportation of goods and passengers at transport enterprises, etc.
The proceeds from the sale can be determined by the moment the money is received on the current account or at the cash desk. This is documented by a bank statement from the company's current account or cash documents, on the basis of which cash is credited to the account.
Revenue should be measured by fair value received or receivable remuneration. Usually in cash. IFRS 18 emphasizes the importance of taking into account the transfer of significant risks, loss of control over a product, and a reliable assessment of the likelihood that an enterprise will receive economic benefits as a result of this transaction. Revenues from the provision of services should be reported in accordance with the stage of completion of the work as at the reporting date. An entity is required to disclose the accounting policies used to recognize revenue, including how the stage of completion is determined. In addition, an entity must disclose the amount of each material item of revenue recognized during that period, incl. revenue that arises from the sale of goods, the provision of services, interest, royalties and dividends. The standard also requires disclosures about the amount of revenue arising from the exchange of goods or services (for example, from a barter exchange).
Russian enterprises can also determine the proceeds from sales and the financial result at the time of shipment of products (performance of work, services), which is formalized by the corresponding documents on shipment.
The difference between the proceeds from the sale of products (works, services) without value added tax and excise taxes and the cost of manufacturing the sold products (works, services) is called gross profit from the implementation.
The total financial result (profit, loss) at the reporting date, which is also called balance sheet profit, are obtained by calculating the total amount of all profits and all losses from the main and non-main activities of the enterprise. The balance sheet profit includes: profit (loss) from the sale of products, works, services; profit (loss) from the sale of goods; profit (loss) from the sale of material circulating assets and other assets; profit (loss) from the sale and other disposal of fixed assets; income and losses from foreign exchange rate differences; income from securities and other long-term financial investments, including investments in the property of other enterprises; costs and losses associated with financial transactions; non-operating income (loss).
Balance sheet profit minus taxes (mandatory payments) is called clean profit .
To predict the value of profit, to manage it, it is necessary to carry out an objective systematic analysis of its formation, distribution and use. Such an analysis is important for both internal and external partner groups, since profit growth determines the growth of the company's potential opportunities, increases the income of founders and owners, characterizes financial condition enterprises.
Main tasks analysis of financial results according to the traditional methodology includes an assessment of the dynamics of indicators of profit and profitability for the analyzed period; analysis of sources and structure of balance sheet profit; identification of reserves for increasing the balance sheet profit of the enterprise and net profit spent on the payment of dividends; identification of reserves for increasing various profitability indicators.
In order to fulfill these tasks, the following are carried out: evaluation of the fulfillment of the plan in terms of financial indicators (profit, profitability and funds allocated for the payment of dividends) and the study of their dynamics; general assessment of the fulfillment of the plan for balance sheet profit, the study of its dynamics in comparison with the corresponding base period, consideration of its structure; determination of the influence of individual factors on the profit from the sale of products (works and services); consideration of the composition of non-operating income left at the disposal of the enterprise and losses reimbursed from the balance sheet profit; determination of the impact of non-operating income and losses on the balance sheet profit; identification of factors affecting the profitability of products and production; identification of reserves for further increase in profits, funds allocated for the payment of dividends, elimination of non-operating losses and expenses; identification of reserves for increasing profitability.
A preliminary analysis of financial indicators consists in comparing their values with base values, as well as in studying their dynamics for the reporting period and for a number of years. Recommended standards, averaged over a time series of the values of the indicators of a given enterprise, relating to the past, favorable from the point of view of the financial condition, periods, the values of indicators calculated according to the reporting data of successful enterprises.
2.4. Financial statements of an enterprise
Financial statements give an idea of the efficiency of any enterprise. Financial statements are a set of reporting forms compiled on the basis of accounting (financial) accounting data. Financial reporting allows you to assess the property status, financial stability and solvency of the company and other results necessary to justify many decisions (for example, the feasibility of granting or extending a loan, the reliability of business relationships). Financial statements must meet the requirements of external and internal users.
2.4.1. Elements and currency of financial statements in international standards
The financial statements should include: a balance sheet, a profit and loss statement, a statement of changes in equity, or a statement of changes in equity not related to contributions from owners or distributions to owners, a statement of cash flows, a declaration of accounting policies and explanatory notes. IFRS 1 does not provide guidance on what a standard financial reporting format should be, although the appendix to this document contains examples. However, this document specifies what should be the minimum amount of information that must be included in the financial statements and explanatory notes. This standard also requires the use of comparative figures for all items, unless a standard specifically permits or dictates otherwise. When preparing financial statements, the reporting currency is usually the local currency. In the event that a different currency is used, or the reporting currency changes, in accordance with IAS 21, the reasons for this should be disclosed.
In the IASB newsletter Insight(June 1998) emphasizes that businesses can no longer, as they once did, claim that their financial statements comply with IFRS, with some specific exceptions. In accordance with the requirements of IFRS 1, if the financial statements do not comply with all the requirements of each applicable standard and each applicable interpretation of the PKI (Standing Interpretation Committee), it is not permitted to declare that it is in compliance with IFRS.
According to the reporting data, the needs for financial resources are determined; assess the efficiency of the capital structure; predict the financial results of the enterprise, as well as solve other problems related to the management of financial resources and financial activities. The latter concerns primarily financial firms that issue and place securities.
All Russian enterprises, irrespective of their form of ownership, represent: "Enterprise balance sheet" (Form No. 1); "Report on financial results and their use" (F. No. 2); "Help to the statement of financial results and their use"; "Appendix to the balance sheet of the enterprise" (form No. 5). "Enterprise balance sheet" contains information for assessing the property and financial condition of the company. The balance sheet determines the final financial result of the firm's activities (profit or loss). Balance sheet data serve as the basis for operational financial planning; used to control the movement of cash flows; they are necessary for tax authorities, credit institutions, government bodies. "Statement of financial results and their use" contains information about the profit received from production, investment and financial activities. It supplements the information contained in the balance sheet. This report consists of the following sections: financial results; use of profit; payments to the budget; costs and expenses taken into account when calculating benefits for income tax. In combination with the balance sheet "Statement of financial results and their use" allows you to calculate and analyze the indicators of profitability of the company.
The appendices to the balance sheet include the following data: movement of funds; movement of borrowed funds; accounts receivable and payable; composition of intangible assets; availability and movement of fixed assets; financial investments; social indicators; movement of funds for financing capital investments and other financial investments.
2.4.2. Financial analysis in international standards
IFRS 1 encourages enterprise management to provide, in addition to reporting, an analysis of the financial results of operations and the position of the enterprise, as well as the main points of uncertainty in the external environment that management has to deal with. The content of this analysis is consistent with Management Discussion and Analysis (AMR) or Operational and Financial Analysis (OFA). These forms of analysis are already mandatory for businesses listed on the US and UK exchanges. This analysis can include identifying the main factors affecting the enterprise's performance, analyzing changes in the enterprise's environment, dividend payment policies, and financing and risk management policies.
The International Organization of Securities Commissions (IOSCO) is also promoting the "internationalization" of financial reporting. In September 1998, IOSCO issued "International Disclosure Standards by Foreign Issuers for International Offers and Initial Public Stock Exchange Listing". These disclosure rules may apply to annual reports. This set of rules includes recommended standards for the provision of information, incl. operational and financial analysis, and discussion of development plans. Such information in non-financial reporting should help improve data comparability, provide a high level of investor protection and provide the quality analysis that investors need to make decisions.
3. Reserves for improving financial performance
3.1 Sources of capital growth
We have already said that there are many factors affecting the profit of an enterprise. In addition, profit, as you know, is only one of the sources of increasing the capital of an enterprise. Other sources are: credits, loans, issue of securities, contributions of founders, others.
In this case, the key indicators, along with the profitability indicators, are the capital turnover indicators. This approach becomes all the more relevant in the context of inflation. It is no coincidence that in the United States, since 1988, a standard has been introduced according to which enterprises, instead of the statements of changes in financial position drawn up by them before this date, must prepare a statement of cash flows. In Russia, there is also a corresponding normative provision (see form No. 4 BU). This approach allows a more objective assessment of the capital of the enterprise (recall the interpretation of capital in the interpretation of the supporters of the "fund theory").
It is possible to analyze the intensity of capital turnover on the basis of the "Statement of Cash Flows" - a financial reporting document (BU form No. 4), which reflects the receipt, expenditure and net changes of funds in the course of current economic activities, as well as investment and financial activities for a certain period.
· Calculate current assets and current liabilities based on the cash flow method. That is, when adjusting the value of current assets, their growth should be subtracted from the amount of net profit, and their decrease over the period should be added to net profit.
· When adjusting short-term liabilities, on the contrary, their growth should be added to net profit, since this increase does not mean cash outflow; the decrease in short-term liabilities should be deducted from net income.
· Adjustment of net income for expenses that do not require payment of cash. To do this, the corresponding expenses for the period must be added to the amount of net profit. An example of such expenses is the depreciation of tangible fixed assets.
· Eliminate the impact of profits and losses received from non-core activities, such as results from the sale of non-current assets and securities of other companies.
3.2. Accounting policy of the enterprise
Investing activities primarily include transactions relating to changes in fixed assets. This is the purchase and sale of real estate, securities, the provision and receipt of long-term loans, receipt of funds from the repayment of loans.
Financial transactions such as changes in long-term liabilities of an entity and equity, sales and purchases own shares, issue of bonds of the company, payment of dividends, repayment by the company of its long-term obligations are recorded in a special section of the report. Each section separately provides data on the receipt of funds and their expenditure for each item, on the basis of which the total change in cash at the end of the period is determined as the amount of cash at the beginning of the period and changes for the period.
a) amortization of fixed assets and intangible assets ( A);
b) loss from the sale of fixed assets and intangible assets (U oa);
c) profit from the sale of fixed assets (P os);
d) costs for research and development work (R&D).
The amount of adjusting the reported profit will be the value of DП:
DP = A+ U oa - P os - R&D.
Total "cash" profit or real cash flow will be the value of Pd:
Pd = Pch + DП,
where: Пд - change in cash on the balance sheet; Pch - reporting profit for f. No. 2; DP - the amount of the adjustment.
The reason for the discrepancy between the values of PP and PP is, as has been shown, the method of accounting for income. Thus, in order to adjust in the right direction the value of the final financial result, the company can use various methods of accounting for income and expenses. Currently, the laws of Russia governing accounting rules allow using several options for assessing certain types of property, forming the cost of products (works, services) at the choice of the company's management. According to the Regulation on accounting "Accounting policy of the enterprise", approved by order of the Ministry of Finance of the Russian Federation No. 100 of 06/28/94, any enterprise has the opportunity to independently choose certain accounting transactions for a number of accounting elements, which directly affect the results of its economic activities. Therefore, a reasonable choice of individual provisions of the accounting policy allows the company to reduce costs and minimize taxes.
Research into the behavior of 127 troubled firms has shown that the choice of accounting methods that produce better results, that is, show higher accounting profits, is not all that tempting for the management of such enterprises. In those years when unplanned dismissals of top managers took place at enterprises, enterprises seemed to have incentives to prefer accounting methods that lower financial results (this could in a certain way help in negotiations with creditors, trade unions, lobbying for favorable decisions in the government, etc. .).
but comparative analysis reporting of successful firms and firms in a difficult situation showed that the choice of calculation methods differ little in both cases.
The accounting policy is approved by the order of the head of the enterprise and is subject to mandatory disclosure (announcement) in the explanation for the annual report submitted to the tax authorities. The declared accounting policy of the enterprise should be stable for a number of years. Changes in accounting policy can only be in the following cases: reorganization of the enterprise (merger, division, accession); change of owners; changes in the legislation of the Russian Federation and the system of normative regulation of accounting in the Russian Federation; developing new ways of accounting.
In practice, changes in legislation occur more often than once a year, therefore, tax inspectorates require that the principles of accounting policies be maintained for at least one financial year, and changes in accounting policies during the transition to a new reporting year must be justified and explained. In addition, it is required that the consequences of changes in accounting policies that are not related to changes in the legislation of the Russian Federation are estimated in value terms.
In this regard, the preparation and announcement of accounting policies is a serious event, the consequences of which directly affect the financial position of the company. The choice of one or another method of property valuation, the determination of some calculated values leads to different tax bases, the amount of taxes payable to the budget, differences in other final indicators of the enterprise.
It should be taken into account that once an ineffective accounting policy is chosen, an enterprise can lead to financial losses throughout the entire reporting year. Therefore, the choice by an enterprise of an effective accounting policy is one of the important procedures for planning financial and economic activities.
From the point of view of determining the financial result, the following elements of accounting policies are of greatest interest:
· Establishing the boundary between fixed and circulating assets. This choice further determines the criteria for dividing costs into fixed and variable, and, hence, the value of the cost of production in the current period.
· Estimation of stocks and calculation of the actual cost of material resources in production.
3.2.2. Material resource estimation method
The method of assessing material resources written off to production at an average cost is traditional for domestic practice, while the FIFO and LIFO methods provided for by international standards and current Russian legislation are relatively new for Russia.
In conditions of inflation, that is, with an increase in prices for material resources, the FIFO method leads to an underestimation of the cost price and to an overestimation of the balance of material resources on the balance sheet. The LIFO method under the same conditions overestimates the prime cost and underestimates the balance of material resources. Accordingly, the use of the LIFO method, all other things being equal, will reduce the amount of taxes on profit and on property of the enterprise, since the base subject to this tax includes the balances of material resources reflected at the beginning of the reporting periods (3, 6, 9 and 12 months).
The LIFO method allows an enterprise to better adapt to inflation and save money by understating taxable profit for the reporting period. In the next reporting period, the previously saved cash will be depreciated and it will not be possible to use them with the same benefit as in the previous reporting period.
The FIFO method leads to an underestimation of the cost of the reporting period and, consequently, to an overestimate of profits. It can be used by enterprises that have income tax incentives (employing 70% or more of disabled people and retirees), as well as enterprises whose purpose is to this stage is development financing. In addition, the FIFO method can be used by enterprises whose prices for services are lower than those of competitors, and the level of profit is low. In this case, the use of the FIFO method will allow these enterprises to avoid sanctions by tax authorities for the sale of services below their cost.
3.2.3. Methods for calculating the depreciation of low-value and wearing items (MBE)
The first method provides for the accrual of depreciation in the amount of 50% of the initial cost of the MBE transferred from the warehouse to operation and in the amount of the last 50% of the cost (minus the cost of these items at the price of their possible use) upon their disposal.
The second method provides for the accrual of depreciation in the amount of 100% when transferring the MBE from the warehouse to operation.
The choice of one of the possible methods depends on the number of MBEs and their share in the total value of the property of the enterprise, on the intensity of movement of the means of labor in circulation, as well as on the goals financial policy enterprises.
With the first method of depreciation, in the case of a significant number of MBEs and their intensive movement, the cost of services in the reporting period is relatively underestimated and is more evenly distributed throughout the year. At the same time, the tax on the property of the enterprise may increase accordingly, since the residual value of the IBE is taken into account in the base subject to this tax.
With the second method of calculating the depreciation of the IBE under the same conditions, the cost of services is relatively overstated, the tax on the property of the enterprise is accordingly reduced by reducing the residual value of the IBE.
The choice of the method for calculating the depreciation of the IBE is especially relevant for public catering enterprises, where tableware, tableware and other inventory are taken into account in the composition of the IBE, as well as for hotels and hotels where bed linen is taken into account in the composition of the IBE.
3.2.4. Accounting for the repair of fixed assets
To evenly include in the cost of products (works, services) the costs of all types of repairs to fixed assets, enterprises can create a reserve of funds (repair fund), based on the book value of fixed assets and deduction standards approved in the prescribed manner by the enterprises themselves. This action is carried out in accordance with clause 10 of the Regulation on accounting and reporting, approved by order of the Ministry of Finance of the Russian Federation No. 170 dated December 26, 1994.
The use of this option provides a more uniform formation of the cost of production at enterprises with significant costs for the periodically carried out repair of fixed assets. This allows you to avoid cases of selling products at a price not higher than the cost price and, therefore, the necessary additional tax on value added, on profit, on road users, based on market prices for the products sold.
Second possible option accounting for the cost of repairing fixed assets is their accounting as deferred expenses. The costs of repairing fixed assets, with this accounting option, are included in the cost of products (works, services) based on the standard established by the enterprise, reflecting the difference between the total cost of repairs and the amount attributed according to the standard to the cost of products (works, services) as part of expenses future periods, which also makes it possible to achieve a fairly even formation of the cost price.
The third possible option for accounting for costs is to include them in the cost of products (works, services) of the reporting period in which renovation work... This option for accounting for the cost of repairing fixed assets is the simplest. It can be used by enterprises with low repair costs that do not lead to significant fluctuations in the cost of production, or in cases where expensive repairs of fixed assets are planned for a period during which the enterprise is expected to receive significant proceeds from the sale of products. In the latter case, the inclusion of the cost of repairing fixed assets in the cost of production will reduce taxable profit and, consequently, corporate income tax.
3.2.5. Methods for grouping and including costs in the cost of goods sold, products (works, services)
The legislation of the Russian Federation allows two ways of grouping and including costs in the cost of goods, products, works, services sold: the traditional way of forming the full cost of products and the direct counting method - "direct costing".
a) The traditional way... The essence of the traditional method consists in the monthly determination of the full actual cost of products, works, services by grouping all costs associated with the production of the relevant product, according to the method of including certain types of products, works, services in the cost price. This sign of grouping costs provides for their division into direct and indirect.
b) Direct costing method... In accordance with the legislation of the Russian Federation, this method can be applied in the Russian Federation from 01.01.96. Recall that this method is based on the grouping of costs depending on the volume of production, work performance, and services.
The direct costing system is an attribute of the market economy. It has achieved a high degree of integration of accounting, analysis and management decision-making. The main attention in this system is paid to the study of the behavior of resource costs depending on changes in production volumes, which allows you to flexibly and quickly make decisions on the normalization of the financial condition of the enterprise. The most important analytical capabilities of the direct costing system are as follows:
· Optimization of profit and range of products;
· Determination of the price for new products;
· Calculation of options for changing the production capacity of the enterprise;
· Evaluation of the efficiency of production (acquisition) of semi-finished products;
Evaluation of the effectiveness of accepting an additional order, replacing equipment, etc.
For the purposes of profit and cost management, costs are classified according to various criteria. The essence of the direct costing system is the division of production costs into variable and constant, depending on changes in the volume of production. Variables include costs, the value of which changes with a change in the volume of production:
· Costs of raw materials and supplies;
· Wages of the main production workers;
· Fuel and energy for technological purposes;
· Other costs directly related to the production of products, and therefore proportional to its volume.
Depending on the ratio of production growth rates and various elements variable costs, the latter, in turn, are subdivided into:
Proportional,
Progressive,
· Digressive.
It is customary to include such costs as constant, the value of which does not change with a change in the volume of production:
· rent,
· Interest for the use of loans,
Accrued depreciation of fixed assets,
Some types wages heads of enterprises, firms and other expenses.
It should be noted that the division of costs into fixed and variable is somewhat arbitrary, since many types of costs are semi-variable (semi-permanent) in nature. However, the disadvantages of the convention of cost sharing are repeatedly overlapped by the analytical advantages of the direct costing system.
The direct costing method is essentially based on subtracting variable (conditionally variable) costs from sales proceeds and determining the gross profit margin, which differs from real profit by the amount of fixed costs. With the help of the "direct costing" method, the goals of accounting (financial) and production (management) accounting converge, since this method is widely used in economic analysis economic activity of enterprises and has the following advantages:
1.Allows to avoid complex calculations for the distribution of fixed costs between different types of products;
2. allows you to write off everything fixed costs in the current reporting period and, as a result, reduces income tax in the reporting period by reducing the amount of profit from sales by the amount of fixed costs compared to the traditional method of grouping and writing off costs as products are sold;
3.Allows you to assess the balances of products, work not performed, services not provided at conditionally variable costs, which reduces the entrepreneurial risk in the absence of sales in the future period.
Until the end of 1995, the legislation of the Russian Federation allowed the use of two methods for determining the moment of implementation and the financial result, both for accounting purposes and for tax purposes:
2. at the time of shipment of goods, products, performance of work, provision of services and presentation of settlement documents to buyers (customers) (“accrual” method).
With the help of these methods in accounting, an assessment was made of the presence and condition of the company's receivables. Moreover, the "cash" method provided an assessment of accounts receivable at the actual cost, and the "accrual" method - an assessment at sales prices. The choice of the method of accounting for proceeds from sales by the company depended on the terms of business and the nature of the contracts entered into.
In 1996, there was a change in the procedure for determining proceeds from sales, according to which, for accounting purposes, only one possible method for determining the moment of sale and financial result is used - at the time of shipment and presentation of settlement documents to buyers (customers), that is, the “accrual” method.
An exception is stipulated for cases when the delivery contract stipulates a moment different from the general procedure for the transfer of ownership, use and disposal of the shipped products (goods) and the risk of its accidental death on the way from the organization to the buyer (customer).
At the same time, for tax purposes businesses are allowed to determine sales revenue, both at the time of payment and at the time of shipment goods, products, performance of work, provision of services.
The method for determining the proceeds from sales for accounting and tax purposes is established by the enterprise for a long time based on the terms of business and contracts concluded. Tax purposes include the calculation of the following taxes:
· Income tax;
Value added tax:
· Tax on road users;
Tax on the maintenance of the housing stock and objects of the social and cultural sphere,
· Other taxes, the basis for the calculation of which is the proceeds from the sale of goods, products (works, services).
Thus, if an enterprise in the order on accounting policy for the current year announced the "accrual" method for determining the proceeds from sales for tax purposes, then this enterprise's accounting data coincide with the tax base, and there are no questions about determining the proceeds from sales for tax purposes. ...
The situation is different for the company, which in the accounting policy for the current year announced the "cash" method for determining the proceeds from sales for tax purposes, since this company has a discrepancy between the accounting data and the taxable base.
This company must calculate two amounts of proceeds from sales: one - directly for the purposes of accounting and assessing the financial result, determined by the "accrual" method, and the second - for tax purposes, which is obtained by adjusting the first amount.
In addition, for tax purposes, the financial result itself, which is profit from sales, must also be adjusted, since this indicator is used in the calculation of income tax.
Adjustment of proceeds from sales and financial results to obtain tax bases is carried out in several stages:
1) the proceeds from the sale of paid products are calculated by the "cash" method or by the formula:
TR k = Q he + Q o n - Q o to, where
TRк - sales proceeds, calculated on a cash basis; Q he is the cost of the balance of shipped but not paid products at the beginning of the reporting period; Q o p - the cost of all shipped products for the reporting period; Q o к - the cost of the balance of shipped but not paid products at the end of the reporting period;
2) the adjusted amount of taxes payable to the budget in the reporting period is calculated, the basis for the calculation of which is the proceeds from sales (value added tax, tax on road users, tax on the maintenance of housing stock and social and cultural facilities), according to the formula:
T = TR kk × t, where
TR kk - adjusted sales proceeds calculated on a cash basis; t- the rate of the relevant tax;
3) the adjusted value of the financial result is calculated (F r) according to the formula:
| F r= F f × | TR To | , where |
| TR n |
F f- the financial result obtained on the basis of financial accounting data; TRк - proceeds from sales, determined by the "cash" method; TR n - sales proceeds, determined by the "accrual" method.
At the same time, two differences exist and are subject to mandatory accounting:
· The difference between the amount of value added tax (VAT) to be received from buyers for goods, products, works, services sold, and its amount to be transferred to the budget by calculation;
· Between the financial result (profit from sales), obtained on the basis of accounting data, and the financial result (profit from sales), adjusted for tax purposes in this reporting period;
If the company has significant accounts receivable, then for tax purposes it should declare in the accounting policy a "cash" method for determining the proceeds from the sale of goods, products, works, services. This will significantly save working capital in the current reporting period. Moreover, the savings will be not only on income tax, but also on value added tax in terms of the cost of goods (works, services) not exempt from VAT.
4. Control of the results of the financial and economic activities of the enterprise
4.1. Objectives of control over the results of the enterprise
Increased competition in the global and domestic markets, the rapid development and change of technologies, the growing diversification of business, the complication of business projects and other factors determine new requirements for the company's internal control system. In modern conditions, internal control at the enterprise should be present at all levels of management, since it is a guarantee of the successful operation of the enterprise.
Control should be aimed at ensuring key performance indicators at all stages of enterprise management. In this regard, the purpose of control at the enterprise is to identify possible deviations of the planned indicators, to establish the causes of these deviations and to develop measures to eliminate them.
An analysis of the activities of a number of Russian enterprises showed that when building a control system at an enterprise, it is recommended to establish a three-stage control: preliminary, current, and final. The establishment of three-stage control is due to the need to increase the adaptability of the enterprise to changes in the external and internal environment, including through control as a feedback function, not only for the entire management cycle, but also at each stage (Fig. 3).
Rice. 3. Place of control in the enterprise management cycle
This will significantly increase the efficiency of control actions to adjust the goals of the enterprise and adapt plans to a changing situation.
4.2. Tasks of monitoring the results of the enterprise
To achieve the set goal of control, it is necessary to formulate control tasks at the enterprise in relation to the stages of the management cycle.
At the stage of preliminary control, control is carried out:
The process of forming goals (the correctness of the choice of goals, checking them for validity and consistency between stakeholders and groups, the adequacy of the correspondence of quantitative indicators of the degree of achievement of the goals, etc.);
· Restrictions used in setting goals; predictions necessary for setting goals;
Plans (validity of planned targets, checking plans for completeness and consistency, converting planned values into controllable ones, setting acceptable limits for deviations of controlled values, realism, adaptability, etc.).
Planning control allows you to evaluate and improve the quality of the plan. Evaluating the planned values, it is possible to assess the reality of the plan and the reality of the conditions considered during its development, the situations in which it was drawn up (the degree of stability of the enterprise in the market, price dynamics, the degree of demand for products, etc.), as well as possible errors in drawing up the plan ... Moreover, in addition to inaccurate assessments of possible situations, there may be other reasons for deviations from the plan, for example, errors in calculations, heterogeneity of the content of planned and actual indicators, etc. Identification of these reasons will improve the planning process itself and coordinate plans with reality. The sooner a change in the situation is recorded, the earlier it is possible to update plans, correlate them with reality.
Monitoring the implementation of the goals and objectives allows you to identify possible errors and deficiencies in management and propose measures to eliminate them.
At the stage of the final control of the enterprise's activities, the results are summed up for the enterprise as a whole on the achievement of the set goals and measures are developed to eliminate possible deviations in the future.
Thus, in a broad sense, the control function contains the analysis and measurement of quantitative and qualitative characteristics (indicators) of the enterprise, as well as identifying the reasons for deviations of control values from the planned ones, in order to increase the enterprise's adaptability to the appearance of possible unfavorable situations.
4.3. Model for monitoring the results of the enterprise
Taking into account the remarks made, the control model within the framework of the enterprise management system should be presented in the form of Fig. 4.
Rice. 4. Model of the organization of control
The main elements of the control system model are:
Objects of control - plans and budgets of the enterprise and its structural units;
· Subjects of control - indicators of income and expenses, changes in balance sheet items, a system of indicators characterizing the activities of the enterprise as a whole or in certain areas, etc .;
· Subjects of control - the management of the enterprise and its structural divisions, the management of the enterprise, exercising control over the observance of budgets;
· Budget control technology - control procedures and their implementation procedure, necessary to identify deviations of monitored indicators and values from the planned ones.
This control model should be based on information support of control activities, including operational, planning, regulatory and reference information, classifiers of technical and economic information, documentation systems (unified and special). The complexity of collecting real information about financial and economic activities depends on the availability of automated accounting, development information technologies generally.
4.4. General scheme of the technology for monitoring the results of the enterprise
Technologically, in its most general form, the control process includes the implementation of the activities presented in Fig. 5.
Rice. 5. Flow chart of the control process
4.4.1. Determination of benchmarks and values
When determining control values, two critical questions should be answered: how many and what indicators and values should be monitored.
Management should try to find an acceptable approach to defining a rational number of indicators assigned personally to the manager for control. Despite the fact that the choice of the number of indicators largely depends on the qualitative analysis of the activities of the enterprise (department), you can specify the upper limit of their number. This task can be solved on the basis of typological groupings. Calculations show that for an integrated assessment of the state of an enterprise (department), no more than 4-5 indicators can be dispensed with.
To optimize the structure of monitored indicators within integral indicators, it is advisable to use the ABC analysis method, which is based on the Pareto principle.
For example, the analysis of the cost structure of the “Expertphoto” printing factory (Table 1) revealed 10 integral types of costs (indicators), of which, according to the ABC analysis method, it is recommended to leave 4 controlled indicators: production costs, storage of raw materials, sorting of finished products and receiving orders giving more than 90% of the costs.
Table 1
Cost structure of the photo printing factory "Expertfoto"
4.4.2. Identifying deviations
The next step in control technology is to identify deviations. Determination of deviations helps to identify areas of effectiveness or ineffectiveness of the entire activity or specific areas and functions of the organization.
The source of information about the actual values and deviations of the monitored indicators and values is the accounting system of the enterprise, and the source of data on the planned values is the system of plans and budgets of the enterprise. It is quite laborious, and it is inappropriate to identify the causes of all deviations. The object of analysis should be only those deviations that significantly affect the achievement of the final goal.
After analyzing the causes of deviations, the following main options are possible (Fig. 6):
Rice. 6. Dynamics of changes in the controlled indicator
a) the decision on the analysis of deviations is made only after establishing the fact that the controlled indicator goes beyond the deviations. In this regard, a variant approach to planning is possible;
b) the decision on the analysis of the reasons for deviations is made only after the establishment of a stable trend (forecast) of changes in the controlled indicator towards going beyond one of the controlled boundaries Xmax or Xmin. In this case, an adaptive approach to planning the activities of the enterprise is advisable;
c) the decision on the analysis of the reasons for deviations is made for some, less important, indicators only after the controlled indicator goes beyond the deviations, and for others, more important, only after a stable tendency for the controlled indicator to change towards one of the controlled boundaries is established as a result of the forecast ...
For this case, an adaptive-situational approach to planning the activities of an enterprise is desirable.
The use of one or another of the above options depends on the specific situation in the enterprise. If the time delay in considering the reasons for the deviations is not so important, then, probably, option a) will be more preferable than others, since it does not require the use of sufficiently complex and expensive forecasting methods. And vice versa, if a time delay in identifying the causes of deviations is highly undesirable, then option b) will be more preferable.
Naturally, option c) is more universal, since, in accordance with it, the entire set of indicators is divided into two groups: less and more important, decisions on which are made individually. The advantage of this approach is also the fact that the analysis of the causes of deviations and the development of measures to eliminate deviations are carried out in advance. However, the use of this option is difficult if the enterprise is undeveloped information base about its condition and there are no proven methods for predicting changes in indicators.
Each top-level indicator is a function of the lower-level indicators. The deviation of the values of the lower level of the pyramid is an explanation for the deviation of the value of another - the nearest higher level. Splitting key indicators into factors (multipliers), their components, allows you to determine and give comparative characteristics the main reasons that influenced the deviation of a particular indicator and make demands on the value of its deviation. In addition, the pyramidal structure of indicators and their deviations allows you to quickly receive and communicate information about the achieved indicators in each department to the superior manager and take appropriate measures.
Using the idea of a pyramidal structure of indicators, we can consider the order of its construction on the example of a two-level control system of indicators and their deviations (Fig. 7).
Rice. 7. Scheme of monitoring indicators by management levels
4.4.3. Deviation analysis
Deviation analysis is a kind of early warning subsystem of unwanted deviations of actual indicators and values from planned ones. Its task is to identify the reasons for the appearance of such deviations in the activities of the enterprise, to assess their significance for the future and to develop appropriate corrective measures.
Moreover, one should distinguish between an analysis oriented towards the past and an analysis oriented towards the future.
The reasons for possible deviations can be divided into two main groups:
· The first group of reasons refers to errors in predicting the state of the external environment of the enterprise during the implementation of the planning process, in particular regarding the behavior of consumers and competitors;
· The second group of reasons is hidden in the internal environment of the enterprise and is associated with "blunders" in the financial and economic activities of the enterprise, in particular, with the determination of the standards for the consumption of raw materials and materials per unit of output.
Such reasons should be identified in the process of constant monitoring over the execution of plans and budgets and, on their basis, appropriate proposals and measures should be developed to bring the enterprise to the planned indicators or to adjust the indicators themselves.
Thus, in this section of my course work, we examined the goals, objectives and model for monitoring the results of the financial and economic activities of the enterprise.
5.1. Dynamics and structure of financial results of the enterprise and analysis of profit by factors
The financial results of the enterprise are reflected in the system of indicators. A large number of indicators characterizing the financial results of an enterprise's activity creates methodological difficulties for their systematic consideration. Differences in the purpose of indicators make it difficult for each participant in commodity exchange to choose those of them that most satisfy his needs for information about the real state of the given enterprise. For example, the administration of an enterprise is interested in the mass of the profit and its structure, the factors affecting its value. Tax inspectorates are interested in obtaining reliable information about all the components of the balance sheet profit: profit from product sales, profit from the sale of property, non-operating results of the enterprise, etc. directions of revitalization of the enterprise. For other participants in market relations, profit analysis allows you to develop the necessary strategy of behavior aimed at minimizing losses and financial risk from investments in this enterprise.
The analysis of the financial results of the company's activities includes, as mandatory elements, the study:
1.changes in each indicator for the current analyzed period;
2. the structure of the relevant indicators and their changes;
3. dynamics of changes in indicators of financial results for a number of reporting periods (at least in the most generalized form).
To analyze and assess the level and dynamics of indicators of the financial results of the enterprise, a table is drawn up, which uses the reporting data of the enterprise from form No. 2.
Table data. 2 show that in the reporting period the company has achieved good results. The balance sheet profit increased by 118%, and the indicator of the net profit remaining at the disposal of the enterprise increased by the same amount. A positive factor in the growth of balance sheet profit was an increase in profit from product sales due to an increase in sales and a relative decrease in production costs. Further analysis should specify the reasons for the change in profits from sales of products for each factor.
Factor analysis of profit from the sale of products (works, services)
Profit from sales marketable products in general is influenced by the following factors:
· Change in the volume of sales;
· Change in the structure of products;
· Change in selling prices for products sold;
· Changes in prices for raw materials, materials, fuel;
· Change in the level of costs of material and labor resources.
Below is a formalized calculation of the impact of these factors on the profit from the sale of products.
table 2
ANALYSIS OF THE LEVEL AND INDICATORS OF FINANCIAL PERFORMANCE OF THE ENTERPRISE
1. Calculation of the total change in profit (P) from product sales:
ΔP = P 1 - P 0, where P 1 is the profit of the reporting year; P 0 - base year profit.
2. Calculation of the effect on profit of changes in selling prices for products sold (DP 1):
where - sales in the reporting year at the prices of the reporting year, where p 1 - the price of the product in the reporting year; j 1 - the number of products sold in the reporting year;
Sales in the reporting year in prices of the base year, where p 0 is the price of the product in the base year.
Calculation of the effect on profit of changes in the volume of production () (the actual volume of production in the assessment at the planned (base) cost):
DP 2 = P 0 K 1 - P 0 = P 0 (K 1 -1), where P 0 is the base year profit; K 1 is the growth rate of the volume of sales of products:
K 1 = S 1.0 / S 0,
where S 1.0 is the actual cost of goods sold for the reporting period in prices and tariffs of the base period;
S 0 - the cost of the base year (period).
4. Calculation of the effect on profit of changes in the volume of products due to changes in the structure of products (DP 3):
DP 3 = P 0 K 2 - P 0 K 1 = P 0 (K 2 -K 1)
where K 2 - the growth rate of the volume of sales in the assessment at selling prices;
K 2 = N 1.0 / N 0
where N 1.0 - sales in the reporting period at the prices of the base period;
N 0 - implementation in the base period.
5. Calculation of the impact on profit of savings from reducing the cost of production (DP 4):
DP 4 = S 1.0 - S 1
where S 1.0 is the cost of goods sold in the reporting period in prices and conditions of the reference period;
S 1 - the actual cost of goods sold in the reporting period.
6. Calculation of the impact on profit of savings from reducing the cost of production (DP 5):
DP 5 = S 0 K 2 - S 1.0.
A separate calculation based on accounting data determines the impact on profit of changes in prices for materials and tariffs for services (DP 6), as well as savings caused by violations of business discipline (DP 7). The sum of factorial deviations gives the total change in profit from sales for the reporting period, which is expressed by the following formula:
where DP is the total change in profit;
DP i - change in profit due to the i-th factor.
Table 2 provides the initial data and a digital example of the analysis of profit from product sales.
Let's determine the degree of influence on the profit of factors:
1. Change in selling prices for products:
The difference between the proceeds from the sale of commercial products in current prices and the sales in the reporting year in the prices of the base year is calculated. In the given example, it is equal to
31,835 rubles (243,853-212,000).
The additional profit was obtained mainly as a result of inflation. Analysis of accounting data will reveal the reasons and amount of overpricing in each specific case;
2. Changes in prices for materials, tariffs for energy and transportation, tariff rates (salaries) of wages:
We use information about the cost of production. Prices for materials, tariffs for energy and transportation were increased by 10,000 rubles, wages were increased by 9,910 rubles, which resulted in a decrease in profits by
19910 rubles = (10000 + 9910).
3. Violation of business discipline:
The influence of these factors is established by analyzing the savings resulting from the violation of standards, technical conditions, failure to fulfill the plan of measures for labor protection, safety, etc. In this case, no additional profit was revealed due to the indicated reasons
Table 3 ANALYSIS OF PROFIT BY FACTORS
4. Increase in the volume of production in the assessment of the basic total cost (actually the volume of production):
The growth rate of the volume of sales of products is calculated in the assessment at the basic cost. In our case, it is equal to
1,210435 = (151682:125312).
Then we adjust the base profit and subtract the base profit from it:
32705 * 1.210435 - 32705 = + 6882 rub.
5. Increase in the volume of products due to structural changes in the composition of products:
We determine the difference between the growth rate of the volume of sales of products in the assessment at selling prices and the growth rate of the volume of sales of products in the assessment of the basic cost.
6. Reduction of costs for 1 ruble of production:
We find the difference between the basic full cost of actually sold products and the actual cost, calculated taking into account changes in prices for material and other resources, and the reasons associated with violations of economic discipline. In our case, this influence was
RUB 158.0
7. Change in cost due to structural changes in the composition of products:
We find the difference between the basic total cost, adjusted for the growth rate of the volume of production, and the basic total cost of actually sold products:
125312 1.341628-151682 = + 16444 rubles.
The total deviation in profit is 39,714 rubles, which corresponds to the sum of the factor influences. Thus, in our case, the main factors that caused the growth of profits are:
· Inflation;
· Increase in the volume of production by 6882 rubles;
· Change in prime cost due to structural shifts by 16444 rubles.
5.2. Optimization of production volume, profit and costs in the system
direct costing
A necessary condition for making a profit is a certain degree of production development, which ensures that the proceeds from the sale of products over the costs (costs) for its production and sale. The main factor chain that generates profit can be represented by the following scheme:
Costs -> Production Volume -> Profit
The components of this scheme must be under constant attention and control. This problem is solved on the basis of organizing cost accounting according to the system that we described earlier - "direct costing", the importance of which is increasing in connection with the transition to a market economy.
In foreign practice, in order to increase the objectivity of the division of costs into fixed and variable, a number of effective practical methods have been proposed:
· Method of the highest and lowest point of the volume of production for the period;
· The method of statistical construction of the estimated equation;
Graphical method
The total cost of production (Z) consists of two parts:
Constant (Z const) and
Variable (Z var),
which is reflected by the equation Z = Z const + Z var
or in calculating the cost per product:
Z = (C 0 + C 1) X,
where Z - total production costs;
X is the volume of production (number of units of products);
C 0 - fixed costs per unit of product (product);
C 1 - variable costs per unit of product (rate of variable costs per unit of product).
To construct an equation of total costs and divide them into constant and variable parts according to the method of the highest and lowest points, the following algorithm is used:
1. Among the data on the volume of production and costs for the period, the maximum and minimum values of the volume and costs are selected, respectively.
2. Find the differences in the levels of production and costs.
3. The rate of variable costs for one product is determined by referring the difference in the levels of costs for the period (the difference between the maximum and minimum values of costs) to the difference in levels of production for the same period.
4. The total value of variable costs for the maximum (minimum) volume of production is determined by multiplying the rate of variable costs for the corresponding volume of production.
5. The total amount of fixed costs is determined as the difference between all costs and the amount of variable costs.
6. An equation of total costs is drawn up, reflecting the dependence of changes in total costs on changes in production.
Let's show the order of calculations using an example. Table 3 shows the initial data on the volume of production and costs for the analyzed period (by months).
From table. 4 it can be seen that the maximum production volume for the period is 170 pcs., The minimum is 100 pcs. Accordingly, the maximum and minimum production costs amounted to 98 rubles. and 70 rubles.
The difference in production levels is
70 pcs. = (170 - 100),
and in cost levels -
28 RUB = (98 - 70).
The rate of variable costs per item will be
RUB 0.400 = (28: 70).
The total amount of variable costs for the minimum volume of production will be
RUB 40 = (100 * 0.4),
and for the maximum volume -
RUB 68 = (170 * 0.4).
The total amount of fixed costs is determined as the difference between all costs for the maximum (minimum) volume of production and variable costs. For our example, it will be
RUB 30 = (70 - 40), or (98 - 68).
Equation of costs for this example has the form
Z = 30 + 0.4X,
where Z - total costs;
X is the volume of production.
Table 4
INITIAL DATA ON PRODUCTION VOLUME AND COSTS FOR THE ANALYZED PERIOD
| Moments of observation (report), month | Production volume (number of products), pcs. | Production costs, rub. |
| 1 | 100 | 70 |
| 2 | 120 | 85 |
| 3 | 110 | 80 |
| 4 | 130 | 90 |
| 5 | 124 | 87 |
| 6 | 121 | 82 |
| 7 | 136 | 93 |
| 8 | 118 | 78 |
| 9 | 124 | 90 |
| 10 | 120 | 84 |
| 11 | 170 | 98 |
| 12 | 138 | 93 |
| Total | 1,511 | 1,030 |
Graphically, the cost equation is displayed as a straight line passing through three characteristic points on the ordinate axis (production cost axis), the line passes through the point corresponding to the value of fixed costs. The line of fixed costs is parallel to the abscissa axis (production volume axis). The cost line also passes through the intersection points of the maximum and minimum production volumes with the corresponding values of the total production costs.
The degree of response of production costs to changes in the volume of production can be estimated using the so-called cost response coefficient. This coefficient is calculated by the formula:
,
where K - the coefficient of response of costs to changes in the volume of production;
Z - changes in costs for the period, in%;
N - changes in the volume of production, in%
ABC- cost change line;
HELL- line of fixed costs;
A- point corresponding to the value of fixed costs;
V- the lowest point of the volume of production (costs);
WITH- the highest point of the volume of production (costs)
Table 5
ECONOMIC TYPICAL SITUATIONS
For fixed costs, the cost response factor is zero ( K = 0). Depending on the value of the response coefficient, economic typical situations are distinguished, which are listed in table. 5.
Table 6
COST BEHAVIOR OPTIONS DEPENDING ON CHANGES IN PRODUCTION VOLUME
| Volume of production | Options for changing costs per unit of production | |||
| products, units | K = 0 | K = 1 | K = 0.8 | K = 1.5 |
| 10 | 1 | 4 | 4.00 | 4.00 |
| 20 | 0.5 | 4 | 3.20 | 6.00 |
| 30 | 0.33 | 4 | 3.16 | 9.00 |
| 40 | 0.25 | 4 | 2.69 | 13.50 |
| 50 | 0.20 | 4 | 2.16 | 20.20 |
| 60 | 0.16 | 4 | 1.72 | 30.30 |
| 70 | 0.14 | 4 | 1.37 | 45.50 |
Table 6. Various options for the behavior of costs are presented, depending on the change in the volume of production.
From table. 6 shows that the total costs for all options with a production volume of 10 units. coincide and are equal to 50 rubles. With an increase in production volume up to 70 units. with a proportional increase in costs ( K = 1) general, costs will be
RUB 290 = (0.14 * 70 + 4 * 70).
With a progressive increase in costs ( K = 1.5) total costs will be
RUB 3186 = (0.14 * 70 + 45.5 * 70).
Digressive cost change ( K = 0.8) will give total expenses in the amount of 106 rubles. In fig. 3 shows a graphical representation of the behavior of costs depending on changes in the volume of production. Similarly, you can plot the behavior of costs per unit of production.
To ensure cost reduction and increased profitability of the enterprise, it is necessary that the rate of decrease in digressive costs exceed the rate of growth of progressive and proportional costs.
An important aspect of analyzing fixed costs is dividing them into useful and useless(blank). This division is associated with an abrupt change in most production resources. For example, a company cannot purchase half a machine. In this regard, resource costs do not grow in a continuous manner, but in leaps and bounds, in accordance with the dimension of a particular resource consumed. Thus, fixed costs can be represented as the sum of useful costs and useless costs that are not used in the production process:
Z const = Z useful + Z useless.
The value of useful and useless costs can be calculated, having data on the maximum possible (N max) and the actual volume of production (N eff)
It is easy to calculate the amount of useful costs:
Analysis and evaluation of waste is complemented by a study of all waste.
Dividing costs into fixed and variable costs, and fixed costs into useful and useless is the first feature of direct costing. The value of such a division is in simplifying accounting and increasing the efficiency of obtaining data on profits.
The second feature of the direct costing system is the combination of production and financial accounting. According to the direct costing system, accounting and reporting at enterprises is organized in such a way that it becomes possible to regularly monitor data according to the scheme
“Costs -> volume -> profit”.
The basic report model for profit analysis is as follows:
Profit margin is the difference between sales revenue and variable costs. It represents, on the other hand, the sum of fixed costs and net income. This circumstance allows building multi-stage reports, which is important for detailed analysis.
The multistage compilation of the income statement is the third feature of the direct costing system. So if in the above report, variable costs are divided into production and non-production, then the report will become three-stage. In this case, the production marginal income is determined first, then the income as a whole, then the net income. For instance:
The fourth feature of the direct costing system is the development of methods of economic, mathematical and graphical presentation and analysis of reports for forecasting net income.
In a rectangular coordinate system, a graph of the dependence of the cost (costs and income) on the number of units of output is plotted. The data on cost and income are shown vertically, and the number of units of production is shown horizontally (Fig. 4) At the point of critical production volume (K), there is no profit and no loss. The area of net profits (incomes) is shaded to the right of it. For each value (number of units of production), net profit is determined as the difference between the amount of marginal income and fixed costs.
To the left of the critical point, the area of net losses is shaded, which is formed as a result of the excess of fixed costs over the amount of marginal income.
The analytical capabilities of the direct costing system are revealed most fully when examining the relationship between the cost price and the volume of product sales and profit. Let's write down the initial equation for the analysis.
If the enterprise is operating profitably, then the value of R> 0, if it is unprofitable, then R< 0. Если R = 0, то нет ни прибыли, ни убытка, а выручка от реализации равна затратам. Точка перехода из одного состояния в другое (при R= 0) называется критической точкой. Она примечательна тем, что позволяет получить оценки объема производства, цены изделия, выручки, уровня постоянных расходов и др. показателей, исходя из требований общего финансового состояния предприятия. For the tipping point we have M = R * + KZ or 
... If the revenue is represented as the product of the sales price of a unit of product (z avg) and the number of units sold (q), and the costs are recalculated per unit of product, then at the critical point we get the expanded equation
N crit = pq = Z c + Z v q,
where p - the selling price of a unit of a product at a critical point;
q - production volume (number of units sold) at a critical point;
Z c = Z const - fixed costs for the entire volume of production;
- variable costs at the critical point per unit of product.
Legend:
N is the volume of production in value terms,
Z is the total cost of production (production costs);
Z v - variable costs;
K is the point of the critical volume of production.
This equation is the main one for obtaining the necessary estimates.
1. Calculation of the critical volume of production:
q (p - Z v) = Zc; ;
where d = p - Z v - marginal income per unit of product, rub.
The marginal income for the entire output is defined as the difference between the revenue and the sum of variable costs.
2. Calculation of the critical volume of revenue (sales).
To determine the critical volume of sales, the equation of the critical volume of production is used. By multiplying the left and right sides of this equation by the price ( p ), we get the required formula:
; 
;
where the conventions correspond to those adopted earlier.
To calculate the critical sales volume, subject to a decrease in the price of a product and maintaining the same value of marginal income, the following ratio is used:
d 0 q 0 = d 1 q 1,
whence it follows that.
where the index “0” marks the values of indicators in the previous period, and the index “1” - the value of the same indicator in the reporting period.
3. Calculation of the critical level of fixed costs
,
hence we have
,
Z const = qd.
This formula is convenient in that it allows you to determine the amount of fixed costs if d is given - the level of marginal income per unit of the product in% to p - the price of the product, or if D is given - the level of marginal income in% to N - the volume of sales (revenue). Then the formula for the calculations will be as follows:
,
where d is given as a percentage of p, or
,
where D is given as a percentage of N.
4. Calculation of the critical selling price
The selling price is determined on the basis of a given sales volume and the level of fixed and variable costs per unit of product.
The calculation uses the original tipping point revenue formula:
or pq = Z c + Z v q,
N crit = pq = Z c + Z v q.
If d / p is known - the ratio between the value of the marginal income per unit of the product and the price of the product, then where does it come from?
If you know D / N - the ratio between the amount of marginal income and revenue, then 
, where.
5. Calculation of the level of the minimum marginal income
If Z c is the value of fixed costs and N is the expected value of revenue, then d / p is the level of the minimum marginal income per unit of the product in% to the price of the product will be determined from the formula:
and the same value has D / N - the level of the minimum marginal income in% to revenue:
6. Calculation of the planned volume for a given amount of planned (expected) profit
If you know the fixed costs, the unit price, the variable costs per unit of the product, as well as the amount of the estimated (desired) amount of profit, then the sales volume will be determined by the following formula:
,
where q plan is the volume of sales ensuring the receipt of the planned amount of profit;
R plan - the planned amount of profit.
This formula directly follows from the definition of marginal income as the sum of fixed costs and planned profit:
(p - Z v) q plan = Z c + R plan
7. Calculation of the volume of sales, giving the same profit for different production options(various options for technology, prices, cost structures, etc.). The number of options doesn't matter.
The solution to the problem follows from the formula for determining profit:
R plan = (p - Z v) q plan - Z c.
Equating the profit received from the two options, we get:
(p 1 - Z v1) q - Z c1 = (p 2 - Z v2) q - Z c2,
where Z c1 and Z c2 - fixed costs for various options;
(p 1 - Z v1) = d 1 and (p 2 - Z v2) = d 2 - marginal income per unit of product (product) for various options.
From where we get:
A graphical solution to this problem is also possible. In fig. 8 Roman numeral I denotes the line of dependence of profit on sales for the first production option, Roman numeral II - for the second option, III - for the third option.
Rice. 8. The graph of the dependence of profit on the volume of sales, where the designations are accepted:
q - sales volume,
R - profit,
c - fixed costs,
I, II, III- production options,
q M - sales volume giving equal profit for all options.
For q = 0 options differ in the size of the difference in fixed costs.
When R = 0, the options differ in the value of the difference between the critical volumes. At the point M crossing the lines the sales volume q M gives equal profit for all options.
With small sales volumes, the most preferable option is III, in which the critical point is at the origin and the profit comes from the sale of the first unit of goods. Then preference can be given to the I production option, in which the critical point is closer to the origin than in the II option, and therefore the profit will begin to flow earlier.
After crossing the lines at a point M the situation is changing. The most preferable is the II production option, then the I and the least profitable is the III option.
These are the main points of profit optimization and cost analysis in the direct costing system.
In the field of production and economic activities, items are reflected that are used in calculating net profit in the income statement. This includes such receipts as payments by buyers for goods and services rendered, interest and dividends paid by other companies, receipts from the sale of fixed assets. Cash outflows are caused by such transactions as payment of wages, payment of interest on loans, payment for goods and services, expenses for paying taxes and others. These items are adjusted for income and expenses accrued, but not paid or accrued, but does not require the use of funds. In addition, items affecting net income that are dealt with in the finance and investing activities sections are excluded to avoid double counting.
Thus, to calculate the increase or decrease in cash as a result of production and economic activities, it is necessary to carry out the following operations:
1. Calculate current assets and current liabilities based on the cash flow method. When adjusting the items of current assets, their increase should be deducted from the amount of net profit, and their decrease for the period should be added to net profit. This is due to the fact that when evaluating current assets using the cash flow method, we overestimate their amount, that is, we underestimate the profit. In fact, an increase in working capital does not entail an increase in cash to the same extent as profit. When adjusting short-term liabilities, on the contrary, their growth should be added to net profit, since this increase does not mean cash outflow; the decrease in short-term liabilities is deducted from net income.
2. Adjustment of net income for expenses that do not require payment of cash. To do this, the corresponding expenses for the period must be added to the amount of net profit. An example of such expenses is the depreciation of tangible fixed assets.
3. Eliminate the impact of profits and losses received from extraordinary activities, such as results from the sale of non-current assets and securities of other companies. The influence of these operations, which was also taken into account when calculating the amount of net profit in the income statement, is eliminated in order to avoid repeated counting: losses from these operations should be added to net profit, and profits should be deducted from the amount of net profit.
Investing activities mainly include transactions related to changes in non-current assets:
· "Real estate sale and purchase",
· “Sale and purchase of securities of other companies”,
· "Provision of long-term loans",
· “Receipt of funds from loan repayment”.
The financial sphere includes such operations as changes in the long-term liabilities of the firm and equity capital, the sale and purchase of its own shares, the issuance of bonds of the company, the payment of dividends, the repayment by the company of its long-term liabilities. Each section separately provides data on the receipt of funds and their expenditure for each item, on the basis of which the total change in cash at the end of the period is determined as an algebraic amount of cash at the beginning of the period and changes for the period.
Let's consider an algorithm for working with a cash flow statement.
In the section on production and economic activities, the amount of net profit is adjusted for the following items:
1.added to net profit: amortization, decrease in accounts receivable, increase in deferred expenses, losses from the sale of intangible assets, increase in tax arrears;
2. deducted: profit from the sale of securities, an increase in advance payments, an increase in the minimum wage (inventory), a decrease in accounts payable, a decrease in liabilities, a decrease in a bank loan.
In the section of investment activities:
1. add: sale of securities and tangible fixed assets;
2. deducted: purchase of securities and tangible non-current assets.
In the field of financial activities:
1. the issue of ordinary shares is added;
2. deducted: redemption of bonds and payment of dividends.
At the end of the analysis, cash is calculated at the beginning and end of the year, which makes it possible to talk about changes in the financial position of the company.
The factors of profit change are the costs included in the cost of production, change in the volume of sales on credit, accrual of taxes and dividends, etc.
The reported profit is also adjusted for the amount of adjustments that do not reflect cash flows:
Is, as noted above, the method of accounting for income.
An important component of financial condition is the movement of working capital or current assets of the enterprise. With the turnover of mobile assets, the whole process of capital circulation begins, as it were, the entire chain of economic activity of the enterprise is set in motion. Therefore, the factors of acceleration of working capital, synchronization of the movement of working capital with profit and cash should be given maximum attention.
6. Conclusion
In conclusion of my term paper, I can conclude that the main task of an enterprise in a market economy is to fully satisfy the needs of the national economy and citizens in its products, works and services with high consumer properties and quality at minimal cost, increase the contribution to the acceleration of social economic development of the country. To implement its main task the company provides an increase in the financial results of its activities.
As discussed in this paper, in a market economy, the value of profit is enormous. The desire to make a profit orients commodity producers to increase the volume of production needed by the consumer, to reduce production costs. With developed competition, this achieves not only the goal of entrepreneurship, but also the satisfaction of social needs. For an entrepreneur, profit is a signal indicating where the greatest increase in value can be achieved, and creates an incentive to invest in these areas. Losses also play a role. They highlight mistakes and miscalculations in the direction of funds, organization of production and marketing of products.
To improve the efficiency of the enterprise, it is of paramount importance to identify reserves for increasing production and sales, reducing the cost of products (works, services), and increasing profits. The factors necessary to determine the main directions of the search for reserves for increasing profits include natural conditions, government regulation of prices, tariffs, etc. (external factors); change in the amount of funds and objects of labor, financial resources (internal production extensive factors); increasing the productivity of equipment and its quality, accelerating the turnover of working capital, etc. (intensive); supply and marketing activities, environmental protection activities, etc. (non-production factors).
The work considers the following areas: composition and structure of balance sheet profit; profit from the sale of products (works, services) and from other sales; profits (losses) from non-operating transactions and the influence of these factors on the financial results and the use of the company's profits.
List of sources used
1.K.A. Rantsky "Economics of organizations" M .: Dashkov and Co, 2003
2. I.V. Sergeev "Enterprise Economics", Moscow: Finance and Statistics, 2001
3. Finances of organizations (enterprises): textbook-M .: TK Welby, Prospect Publishing House, 2005
4. Kovalev A.I., Privalov V.P. "Analysis of the financial condition of the enterprise" M .: Center for Marketing Economics, 2001
5. Methodology for the financial activity of commercial organizations 2-T BPL. Author (s) Sheremet A.D., Negashev E.V. Publisher. Infra-M
6. The magazine " Financial management"No 1, 2005
7. Financial Director No. 1, 2000
8. Eliseeva I.I., Rukavishnikov V.O. Grouping, correlation, pattern recognition. - M .: Finance and Statistics, 1977
9. Journal of Audit and Financial Analysis No. 1, 2000
10. Grishchenko O.V. Analysis and diagnostics of the financial and economic activities of the enterprise: Tutorial... Taganrog: Publishing house TRTU, 2000
11. Enterprise Economics / Fundamentals of Enterprise Economics (Textbook) - T.V. Yarkina
12. Journal "Finance and Credit", No. 10, 2007
13. Internet resources
Finances of organizations (enterprises): textbook-M .: TK Welby, Publishing house Prospect, 2005
Kovalev A.I., Privalov V.P. "Analysis of the financial condition of the enterprise" M .: Center for Economics and Marketing, 2001
Methodology for the financial activity of commercial organizations 2-T BPL. Author (s) Sheremet A.D., Negashev E.V. Publisher. Infra-M.
Financial Management Magazine, No. 1, 2005
Eliseeva I.I., Rukavishnikov V.O. Grouping, correlation, pattern recognition. - M .: Finance and statistics, 1977.
Financial director. - 2003. - No. 1.
Journal of Audit and Financial Analysis No. 1, 2000
Profit is one of the forms of net income, which expresses mainly the value of the surplus product, but also includes part of the value of the required product.
To identify the financial result of the enterprise, it is necessary to compare the proceeds with the costs of production and sale (cost of production):
- if the revenue exceeds the cost, then the financial result indicates a profit;
- if the revenue is equal to the cost price, then it was only possible to recover the costs of production and sales of products. There are no losses, but there is no profit as a source of production, scientific and technical and social development;
- if costs exceed revenues, then the company receives a negative financial result, i.e. losses. This puts him in a very difficult financial situation, which can lead to bankruptcy.
- profit characterizes the economic effect that is obtained as a result of the activities of the enterprise. But it is impossible to evaluate all aspects of an enterprise using profit. In this regard, when analyzing the production, economic and financial activities of the enterprise, a system of indicators is used;
- profit has a stimulating function, the essence of which is that it is the financial result and the main element of the financial resources of the enterprise. Ensuring the principle of self-financing depends on the profit received by the enterprise. The share of net profit that remains at the disposal of the enterprise after paying taxes and other mandatory payments must be sufficient to finance the expansion of production activities, material incentives for employees, scientific, technical and social development of the enterprise;
- profit is a source of formation of budgets of different levels, as it comes to budgets in the form of taxes. The profit, along with other income receipts, is used to finance the satisfaction of social needs, to ensure the fulfillment of its functions by the state, state investment, production, scientific and technical and social programs.
- the first source is formed due to the monopoly position of the enterprise in the market for the release of a particular product or the uniqueness of the product. This source requires constant product updates;
- the second source is based on production and entrepreneurial activity... It requires knowledge of the market conditions and the ability to adapt the development of production to this constantly changing market situation. In this case, the amount of profit depends on:
- the correct choice of the production direction of the enterprise for the production of products (the choice of products that are in stable and high demand);
- creating competitive conditions for the sale of their goods and provision of services (price, delivery time, customer service, after-sales service, etc.);
- production volumes (the larger the production volume, the greater the mass of profit);
- structures to reduce production costs;
- the third source comes from the innovative activity of the enterprise, it involves a constant renewal of products, ensuring their competitiveness, an increase in sales volumes and an increase in the mass of profits.
Balance sheet profit is the sum of the enterprise's profits (losses) from the sale of products and income (losses) not related to its production and sale. The sale of products means the sale of manufactured goods that have a natural-material form, as well as the performance of work, the provision of services. Balance sheet profit is the final financial result of activities, therefore it is revealed on the basis of accounting for all business transactions of the enterprise and the assessment of balance sheet items. This term "balance sheet profit" is used in connection with the fact that the final financial result of the enterprise is reflected in its balance sheet, which is compiled at the end of the quarter, year.
Balance sheet profit includes the following aggregated elements:
- gross profit is a financial result that is obtained from the main activity of an enterprise, carried out in any form, fixed in its charter and not prohibited by law. It is calculated as the difference between the proceeds from the sale of products (works, services) without value added tax and excise taxes and production and sales costs included in the cost of products (works, services). The financial result is calculated separately for each type of activity of the enterprise, which relates to the sale of products, the performance of work, the provision of services.
Revenue is taken into account, excluding value added tax and excise taxes (these are indirect taxes that go to the budget), as well as the amount of markups (discounts) received by trade and supply and marketing enterprises involved in the sale of products.
The costs of production and sale of products (works, services), which make up the cost, are regulated by law;
- profit (loss) from the sale of products (works, services) is the difference between gross profit and commercial and administrative expenses;
- profit (loss) from the sale of fixed assets, their other disposal, the sale of other property of the enterprise is a financial result that is not related to the main activities of the enterprise. This indicator reflects profits (losses) on other sales (sale to the side of various types of property on the balance sheet of the enterprise: buildings, structures, equipment, vehicles and other fixed assets, material values obtained in the process of demolition and dismantling of buildings, structures, sale individual objects, inventory items and other types of property (raw materials, materials, fuel, spare parts, intangible assets, currency values, securities));
- financial results from non-operating transactions are profit (loss) on transactions of various nature that do not relate to the main activities of the enterprise and are not related to the sale of products, fixed assets, other property of the enterprise, performance of work, provision of services.
- income from long-term and short-term financial investments. Long-term financial investments are the costs of an enterprise for the contribution of funds to the authorized capital of other enterprises, the acquisition of shares and other securities, and the provision of loans for a period of more than a year. Short-term financial investments are the acquisition of short-term treasury bonds, bonds and other securities, the provision of funds on loans for a period of less than a year;
- income from the lease of property (they are included in non-operating profits if the lease of property is not the main activity of the enterprise);
- profit of previous years, revealed in the reporting year;
- income from revaluation of goods;
- Receipt of amounts to pay off accounts receivable written off in previous years at a loss;
- positive exchange rate differences on foreign currency accounts and operations in foreign currency;
- interest received on funds held in the accounts of the enterprise.
- losses on operations of previous years, revealed in the reporting year, from the markdown of goods, write-off of bad accounts receivable;
- shortages of material assets revealed during the inventory;
- costs for canceled production orders and for production that did not produce products, excluding losses reimbursed by customers (in this case, the cost of used material assets is deducted);
- negative exchange rate differences on foreign currency accounts and operations in foreign currency;
- uncompensated losses from natural disasters, taking into account the costs of preventing or eliminating the consequences of natural disasters (this excludes the cost of scrap metal, fuel, and other materials received);
- uncompensated losses as a result of fires, accidents, other emergency events caused by extreme situations;
- costs of maintaining mothballed production facilities and facilities, excluding costs reimbursed from other sources;
- legal costs and arbitration fees, etc.
The profit received by the enterprise is subject to distribution, that is, to the budget and according to the items of use at the enterprise (taxes and other mandatory payments). The profit that remains at the disposal of the enterprise after taxes and other mandatory payments are called net profit. It is also subject to distribution in order to form funds and reserves of the enterprise to finance the needs of production and the development of the social sphere.
The procedure for the distribution and use of profits in the enterprise is recorded in the charter of the enterprise. It is determined by the regulation, which is developed by the relevant departments of economic services and approved by the governing body of the enterprise. In accordance with these documents, enterprises can draw up cost estimates financed from profit, or form special purpose funds:
- an accumulation fund is a fund for the development of production or a fund for industrial and scientific and technical development, a fund for social development;
- the consumption fund is a material incentive fund.
- expenses for research, design, engineering and technological work;
- financing the development and development of new types of products and technological processes;
- costs of improving technology and organization of production, modernization of equipment;
- expenses for technical re-equipment and reconstruction of existing production, expansion of enterprises;
- expenses on repayment of long-term bank loans and interest on them, etc.
operation of social facilities on the balance of the enterprise, financing the construction of non-production facilities, organizing and developing subsidiary agriculture, conducting recreational, cultural events, etc.
The costs of material incentives are one-time incentives for the fulfillment of especially important production tasks, the payment of bonuses, the cost of providing material assistance to workers and employees, one-time benefits to retiring labor veterans, supplements to pensions, etc.
Consequently, the profit that remains at the disposal of the enterprise is divided into two parts: the first increases the property of the enterprise and participates in the accumulation process, and the second characterizes the share of the profit used for consumption.
Profitability is a relative characteristic of the financial results and efficiency of the enterprise, the indicators of which characterize the relative profitability of the enterprise, measured as a percentage of the cost of funds or capital from various positions. To assess the level of efficiency of the enterprise, the result obtained (gross income, profit) is compared with the costs or resources used. This measure of profit versus cost signifies profitability, or more precisely, the rate of return.
The main indicators of profitability include:
- return on assets is the percentage of the company's balance sheet profit (or net profit) to the value of its assets (fixed assets). This indicator shows how many rubles of profit one ruble invested in the assets of the enterprise brings;
- profitability of current assets is the efficiency of using current assets, that is, the ratio of the balance sheet profit (or net profit) of an enterprise to the value of its current assets;
- return on equity - the ratio of profit to equity. This indicator allows you to determine the efficiency of using equity capital, compare with the possible receipt of income from investing these funds in other securities, and also show how many monetary units of net profit each monetary unit invested by the owners of the enterprise earned;
- profitability of fixed assets - the ratio of the balance sheet profit (or net profit) of the enterprise to the value of fixed assets and other non-current assets. This indicator shows the efficiency of using fixed assets and other non-current assets;
- profitability of sales (sales) - the ratio of gross profit (or net profit) to sales proceeds. This indicator shows how much profit falls on a unit of products sold;
- profitability of products is an indicator that is calculated:
- for all sold products - the ratio of profit from product sales to the costs of its production and sale. Also, this indicator can be calculated as the ratio of the profit from the sale of marketable products to the proceeds from the sale of products. The indicators give an idea of the effectiveness of the current costs of the enterprise and the profitability of the products sold;
- for certain types of products - this indicator depends on the price at which the product is sold to the consumer and the cost price for this type of product;
- profitability of long-term financial investments - the ratio of the amount of income from securities and equity participation in other enterprises to the total volume of long-term financial investments. This indicator shows the effectiveness of the company's investments in the activities of other organizations.
The financial condition of an enterprise is the ability of an enterprise to finance its activities, which is characterized by the provision of financial resources necessary for the normal functioning of the enterprise, the expediency of their location and efficiency of use, financial relationships with other legal and individuals, solvency and financial stability.
Indicators for assessing the financial condition of the enterprise.
1. Indicators of financial stability characterize the state and structure of assets, the level of borrowed capital and the organization's ability to service this debt:
- the equity ratio shows what part of the total capital is own funds, i.e. independence of the enterprise from borrowed sources of funds. The higher this indicator, the more financially stable, stable and independent from external creditors the organization is;
- the financial stability ratio shows what part of the total capital is borrowed funds. If this indicator grows, it means an increase in the share of borrowed funds in the financing of the enterprise. Conversely, if its value decreases to one, this means that the owners fully finance their enterprise;
- the ratio of the provision of own working capital shows to what extent the financing of working capital depends on borrowed sources;
- the coefficient of maneuverability shows what part of the company's own funds is in mobile form (in the form of circulating assets) and allows them to freely maneuver;
- the ratio of borrowed funds to equity capital allows you to see what share of borrowed funds is covered by equity. If this indicator grows, then this indicates an increase in dependence on external investors. The permissible level of dependence is determined by the working conditions of each enterprise, but primarily by the rate of turnover of working capital;
- the ratio of the provision of inventories with its own working capital shows the extent to which inventories are covered by its own working capital. If the value of inventories is significantly higher than the justified requirement, then own circulating assets can cover only a part of inventories (the indicator will be less than one). If the enterprise does not have enough material reserves for the smooth implementation of production activities (the indicator may be higher than one), then this will not be a sign of a good financial condition of the enterprise.
The financial stability of the enterprise is also characterized by such indicators as liquidity and solvency.
The liquidity of an asset is its ability to transform into cash. The degree of liquidity is determined by the length of the time period during which this transformation can be carried out. The shorter the period, the higher the liquidity of this type of assets. Speaking about the liquidity of an enterprise, they mean that it has working capital in the amount necessary to pay off short-term obligations (even in violation of the maturity dates stipulated by the contracts).
Balance sheet liquidity is the degree to which the organization's liabilities are covered by its assets, the time of conversion of which into money corresponds to the maturity of the liabilities. The liquidity of the company's balance sheet is closely related to the company's solvency.
Solvency is the availability of cash and cash equivalents in an enterprise sufficient to settle accounts payable requiring immediate repayment.
The main signs of solvency:
- availability of sufficient funds in the current account;
- no overdue accounts payable.
Depending on the degree of liquidity, the property of the enterprise is divided into four groups:
- the most liquid funds are cash and short-term financial investments;
- easily realizable assets are accounts receivable, finished goods and goods;
- slow-moving assets are production inventories, MBE, work in progress, distribution costs;
- hard-to-sell or illiquid assets are intangible assets, fixed assets and equipment for installation, capital long-term financial investments.
- the most urgent liabilities - accounts payable, loans not repaid on time;
- short-term liabilities - short-term bank loans;
- long-term and medium-term liabilities - long-term and medium-term bank loans;
- permanent liabilities - sources of own funds.
- the most liquid funds are greater than or equal to the most urgent liabilities;
- easily realizable assets are greater than or equal to short-term liabilities;
- slow-moving assets are greater than or equal to long-term and medium-term liabilities;
- hard-to-sell or illiquid assets are greater than or equal to permanent liabilities.
For a more detailed analysis of liquidity, a set of the following indicators is used:
- the amount of own circulating assets is a part of the company's own capital, which is the source of coverage of current assets. All other things being equal, the growth of this indicator in dynamics is a positive trend. Profit acts as the main and constant source of increasing own circulating assets;
- the maneuverability of the functioning capital is a part of its own working capital in the form of cash, which has absolute liquidity. This indicator in the range from zero to one is considered normal for a functioning enterprise. The growth of the indicator in dynamics is regarded as a positive trend;
- coverage ratio (general) - this indicator gives a general assessment of the liquidity of assets, showing how many rubles of the company's current assets fall on one ruble of current liabilities. The company pays off short-term liabilities mainly at the expense of current assets, therefore, in the event of an excess of current assets over current liabilities, the company is considered to be successfully operating;
- quick liquidity ratio - this indicator is similar to the coverage ratio, but is calculated for a narrower range of current assets (the least liquid part of them - production reserves) is excluded from the calculation. This exception is made because the cash that can be raised in the event of the forced sale of inventories may be significantly lower than the cost of acquiring them. According to international standards, the level of the indicator should be higher than 1. In Russia, its optimal value is defined as 0.7 - 0.8;
- ratio of absolute liquidity (solvency) - this indicator shows what part of short-term debt obligations can, if necessary, be repaid immediately. According to international standards, its value should be greater than or equal to 0.2 - 0.25;
- the share of own circulating assets in the coverage of inventories is an indicator that characterizes that part of the cost of inventories that is covered by its own circulating assets. The lower limit of the indicator is 50%;
- Inventory coverage ratio - this indicator is calculated by correlating the value of "normal" sources of coverage of stocks (own circulating assets, short-term loans and borrowings, accounts payable on commodity transactions) and the amount of stocks. If the value of this indicator is less than one, then the current financial condition of the enterprise is unstable.
