In the course of the enterprise's activities, it is necessary not only to keep records of business transactions, but also to conduct an economic analysis of the final results of activities. During the analysis, various methods are used, economic indicators are calculated, in particular, the overall profitability is determined. This indicator characterizes the economic efficiency of the firm for the reporting period.
It is necessary
- - the balance sheet of the enterprise for the analyzed period (form No. 1 of the financial statements);
- - profit and loss statement for the same period (form No. 2 of the financial statements).
Instructions
Step 1
Determine the gross profit of the company for the analyzed period. Take the value of the amount of gross profit from Form No. 2 "Profit and Loss Statement" (line 29) of the financial statements.
Step 2
Determine the average cost of fixed assets as follows. In the balance sheet, take the values on line 120 "Fixed assets" at the beginning and end of the period. Add these two numbers. Divide the received amount by 2.
Step 3
Calculate the average cost of working capital. These include production inventories, work in progress and prepaid expenses. Add the data at the beginning and end of the period on line 210 "Inventories" of the balance sheet. Divide the received amount by 2.
Step 4
Use the formula to calculate the overall profitability indicator Ptot = Pval / (Fosn + Fobor) x100%, where:
- Pval - gross profit for the analyzed period, thousand rubles;
- Fosn - the average cost of fixed assets for the analyzed period, thousand rubles;
- Fobor - the average cost of working capital for the analyzed period, thousand rubles.
Step 5
Calculate the total profitability using the formula above by dividing the gross profit by the average of the fixed assets and working capital. Multiplying the resulting coefficient by 100, you get the value of the total profitability of the enterprise as a percentage.
