The purpose of entrepreneurial activity is to make a profit. It provides the possibility of self-financing, meeting the material needs of the owners and employees of the enterprise. Profit reflects the final result of the company's activities, so you need to regularly analyze the sources of its formation.
It is necessary
- - balance sheet (form No. 1);
- - profit and loss statement (form No. 2).
Instructions
Step 1
To carry out a quantitative and qualitative analysis of the balance sheet profit, draw up an aggregated profit and loss statement based on the data of form No. 2 of the balance sheet for 5 reporting periods. So you will be able to track trends in the formation of indicators over the course of the year. Include the following lines in the report: revenue from the sale of goods, works, services, cost of sales, gross profit, profit from sales, profit before tax, net profit.
Step 2
A quantitative assessment of the impact on the change in profit is given by factor analysis. Compare the main financial indicators at the beginning and end of the reporting period, calculate the deviations (increase or decrease) in numerical terms and as a percentage.
Step 3
Then make a calculation characterizing the influence of individual factors on the sources of profit, using the formulas:
- change in selling prices for products: Iots = P1 - P2;
- changes in the volume of production: Iop = P0 x K1-P0, where K1 = C1.0 / C0;
- changes in volume due to changes in the structure of products: Iosp = P0 (K2-K1), where K2 = P1.0 / P0;
- savings from reducing the cost of production: Iess = C1.0 - C1;
- change in cost due to structural changes in the composition of products: Exp = C0 x K2 - C1.0.
Step 4
For substitution in formulas, use the values:
Р1 - sales in prices at the end of the period;
P2 - sales in prices at the beginning of the period;
P0 - profit at the beginning of the year;
K1 is the growth rate of the volume of sales of products;
С1.0 - cost of goods sold in prices at the beginning of the period for the reporting period;
С0 - cost of goods sold in prices at the beginning of the period;
K2 is the growth rate of the volume of sales assessed at selling prices;
Р1.0 - sales in the reporting period at prices at the beginning of the period;
Р0 - sales in the reporting period.
Step 5
Add up the magnitudes of the changes, and you get the total expression of the influence of factors on the formation of profit from sales. Analyze them in dynamics.
Step 6
The most important indicator reflecting the final financial result of the company's activities is profitability. Its analysis characterizes the qualitative assessment of profit.
Step 7
Based on the structure of the balance sheet, the composition of assets and capital of the enterprise, calculate the profitability of the main indicators:
- profitability of property = (Net profit) / (Average value of assets) x 100;
- profitability of non-current assets = (Net profit) / (Average value of non-current assets) x 100;
- profitability of current assets = (Net profit) / (Average value of current assets) x 100;
- return on investment = (Profit before tax) / (Balance sheet currency - short-term liabilities) x 100;
- return on equity = (Net profit) / (Equity) x 100;
- return on investment and capital = (Interest on loan + net profit) / (Average value of assets) x 100;
- product profitability = (Net profit) / (Sales proceeds) x 100.
