The main activity of an enterprisein the General case is a labor process, consisting in a certain impact on the object of labor with the help of tools. On the enterprise scale, this property forms production assets. It is clear that it is necessary to use this property as efficiently as possible. It is possible to estimate the level of this efficiency with the help of indicators characterizing the profitability of funds.
As already noted, production assets forcomposition of its heterogeneous. In this regard, they are divided into major and negotiable. Let us dwell on how to determine the profitability of fixed assets. There is nothing complicated in this, since the principle of calculating all profitability indicators is the same: the ratio of profit to the value, the profitability of which must be determined. Accordingly, in this particular case, the value of fixed assets should be used in the calculations. It is pretty obvious that it can change over time. For a more accurate accounting of these changes, it is necessary to use the average cost for the period for which the profitability of fixed assets is calculated.
With regard to profits should be said thatusually involved in the calculation of profit from sales. This choice is based on the fact that this type of profit characterizes the result only from the main activity, without being influenced by other expenses and incomes.
The return on fixed assets showshow efficiently they are used. The specific numerical value of the indicator reflects how many units of profit each unit of property value attributable to fixed assets brings. It is obvious that the larger this indicator, the better for the company. This causes a lack of profitability indicators of standard values.
For the second part of production assets -working capital - you can also calculate profitability. The calculation principle is completely identical, the profit from sales and the average cost for the period of the property are also used. The economic sense is also similar and consists in how much profit the funds invested in revolving funds are able to bring.
Total production assets alsoIt can be estimated from the point of view of the liquidity indicator, but it makes no sense to dwell on this, since the calculation is similar to the previous indicators. More attention should be paid to determining the profitability of all assets, that is, assets. The difference is that profits are usually used net. This is due to the fact that the total assets include all property, including the one that causes other income and expenses. In some cases, you may come across a calculation based on profit before tax, which allows you to overstate your profitability.
As for the analysis following the calculation,return on fixed assets, and all other similar indicators need to be considered in dynamics. This makes it possible to judge whether the efficiency of the use of the resources of the enterprise is increasing, decreasing or remaining at the same level. Of course, to conduct such an analysis, it is necessary to calculate the coefficients for several years, and then determine the relative and absolute changes. If there is a possibility and access to information, then it can be compared with similar indicators of similar enterprises. A more complex method of analysis, but also more effective, is the factor analysis. It can be used to reveal what is more influencing the growth or decline in profitability. In the future, based on the results of this analysis, one or another managerial decision can be made.
