In a market economy, profit is the main indicator that characterizes the efficiency of an enterprise. Profitability is a relative indicator that comprehensively reflects the level of efficiency in the use of labor, money, material goods and resources. By the size of the profit received, it is possible to determine the profitability of the production of the enterprise, its current assets, capital, financial investments, products, services provided by the organization, etc.
It is necessary
- - calculator;
- - documents of financial and accounting statements.
Instructions
Step 1
First of all, consider the budget that you have available to produce a product or provide a service. The success and effectiveness of a particular type of product primarily depends on the quality of the forecast for its further promotion on the market. This information can be obtained from the reporting for the previous year in order to use it as a baseline for further forecasting.
Step 2
Make an investment budget. The main purpose of drawing up this document is to provide for all the necessary expenses, and not income, since the planned products may not be profitable at all and, accordingly, will not bring any profit.
Step 3
Correlate the planned budget with the investment budget in order to determine whether there is enough money to cover the costs used for the production of products and whether it is necessary to introduce new costs. If the investment amount is insufficient, it is advisable to reassess the planned costs.
Step 4
Develop a loan plan for a new type of product. It is especially important to check the estimated cost of the goods, since understating costs can lead to the need to obtain a bank loan, which will entail the payment of interest, and ultimately lead to a decrease in the total amount of profit.
Step 5
In order to calculate the profitability of a product and service, divide the resulting amount of profit by the total cost of production. The total cost of production is the total amount of resources (costs) spent on the production of a product or service. The result shows how much profit the company will receive from each ruble spent on the production of this product. If the value of the final indicator is more than 100%, then the company from 1 rub. the funds spent will receive a profit, if less - a loss. If the indicator is 100%, then the organization for the sale of this type of product will have neither profit nor loss.
