home » Control » Analysis of the turnover of current assets and the duration of the production and commercial cycle. Asset turnover: calculation formula

Analysis of the turnover of current assets and the duration of the production and commercial cycle. Asset turnover: calculation formula

The balance sheet is an important source of complete and reliable information about the financial and economic activities of the organization. However, in order to draw a conclusion about the dynamics of its financial and economic activities, it is necessary to analyze the efficiency of the use of assets and identify the state of profitability of the organization, since these indicators indicate a change in the efficiency of the organization.

Factors affecting asset turnover. The financial position of the organization is directly dependent on how quickly the funds invested in assets are converted into real money.

The duration of funds in circulation is determined by the cumulative influence of a number of multidirectional external and internal factors. To the number external factors should include the scope of activity of the enterprise (production, supply and marketing, intermediary, etc.), industry affiliation, size of the enterprise. The economic situation in the country has a decisive impact on the turnover of the organization's assets. The rupture of economic ties, inflationary processes lead to the accumulation of stocks, which significantly slows down the process of turnover of funds.

Internal factors are the pricing policy of the organization, the formation of the structure of assets, the choice of methods for assessing inventories.

Asset turnover. IN general view organization's asset turnover rate is determined using the formula

To ob.f \u003d Sales proceeds / Average value of assets.

turnover current assets is determined by the formula:

To ob.ob.a \u003d Sales proceeds / Average value of current assets

The source of information on the amount of proceeds is the Profit and Loss Statement (Form No. 2).

The average value of assets according to the balance sheet is determined by the formula

(He + Ok) / 2

where He and Ok are the value of assets, respectively, at the beginning and end of the period.

After that, the duration of one revolution in

days: 360 / Cob.ob.a

Let's give the calculation of the turnover of assets in the analyzed organization (Table 2).

The higher the volume of sales, the more efficiently the assets are used, the faster they turn around. We can say that all assets "turned around" during the implementation of 0.65 times, and current - 1.798 times.

The duration of the turnover of all assets amounted to 554 days, and turnover - 200 days.

Table 2.

Asset turnover, (thousand rubles)

Index	Indicator value
The volume of sales of goods, products, works, services minus VAT
Amount of assets:
a) at the beginning of the year:
The whole set of assets
current assets
b) at the end of the year:
The whole set of assets
current assets
c) medium size:
The whole set of assets
current assets
Turnover ratio:
The whole set of assets
current assets
Turnover duration, days:
The whole set of assets
current assets

turnover accounts receivable. In the calculations of indicators of solvency, liquidity, net working capital, receivables and stocks are used. Depending on how quickly they turn into cash, is the financial position of the organization, its solvency.

Since significant specific gravity in the composition of current assets is accounts receivable, then an analysis of its condition is required. High growth rates of receivables for settlements for goods, works and services, for bills received (in this example are absent) may indicate that the organization is actively using the strategy of commodity loans for consumers of its products. By lending to them, she actually shares with them part of her income. At the same time, in the event that the organization's payments are delayed, it is forced to take out loans to support its business activities, increasing its own accounts payable.

To assess the state of receivables, the following indicators are used:

turnover

1. accounts receivable \u003d Sales revenue / Average receivables, where Average where receivables \u003d (Debit, debt at the beginning of the lane + Debit, debt at the end of the lane) / 2
2. Accounts receivable period = 360 / Accounts receivable turnover
3. Share of accounts receivable in current assets = Accounts receivable / Current assets x 100.
4. Share of Doubtful Accounts Receivable = Doubtful Accounts Receivable / Accounts Receivable x 100.

The last indicator characterizes the "quality" of receivables. The trend towards its growth indicates a decrease in liquidity.

Let's calculate these indicators for our example (Table 3).

Table 2.

Quality of accounts receivable, (thousand rubles)

The share of receivables in current assets increased, which is typical for Russian organizations currently. The turnover of receivables was 6.95 times, or 52 days. The higher this indicator the faster the receivables turn into cash. When analyzing it, it is advisable to consider it in dynamics.

For a deeper analysis of the organization's accounts receivable, it is necessary to additionally request a breakdown of it, indicating information about each debtor, the amounts of accounts receivable and the timing of its repayment. At the same time, the main task of the subsequent analysis of receivables is to assess its liquidity, i.e. assessment of the repayment of the organization's debts.

* control over the status of settlements with buyers on deferred (overdue) debts;
* expanding the circle of buyers in order to reduce losses from non-payment by one or more large buyers;
* control over the ratio of accounts receivable and accounts payable (with a significant excess of accounts receivable, there is a threat financial stability organizations);
* provision of discounts to buyers in case of early payment, which partially compensates for losses from inflation.

Inventory turnover. The replenishment of the organization's cash depends on the turnover of inventories. Inventory turnover is assessed for each type of inventory (inventory, finished products, goods, etc.). Since inventories are accounted for at the cost of their procurement (acquisition), then to calculate the inventory turnover ratio, not sales proceeds are used, but the cost of goods sold. To estimate the inventory turnover rate, the formula is used

Inventory turnover ratio = Cost of goods sold / Average inventory, where

Average Inventory = 9 per. + Remaining stocks at end-of-line) / 2

The shelf life of stocks is determined by the formula

Inventory shelf life = 360 / Inventory turnover.

In the example under consideration, the reserves at the beginning of the year amounted to 32,380 thousand rubles, and at the end - 45,840 thousand rubles. The cost of sold products is 94,640 thousand rubles. (82,360 thousand rubles + 12,280 thousand rubles - f. No. 2) Consequently, the turnover of inventory items was 2.42 times, and the shelf life of stocks was about 149 days. Such an analysis must be carried out in dynamics.

For the normal course of production and marketing of products, stocks must be optimal. The presence of smaller but more movable inventory means that a smaller amount of the organization's cash is in inventory. The accumulation of stocks is evidence of a decline in the activity of the organization for the production and sale of products.

Turnover ratio working capital and duration of their turnover.

K ob.oa \u003d Sales proceeds / OA cf. (2.15)

To ob.oa2010= 35507/1137.5=31.21

To ob.oa2011=78025/2023.5=38.55

To ob.oa2012=147010/7454.5=19.72

Turnover for the analyzed periods continued to decline steadily by 2.196, 0.77 and 1.87 turnover, respectively, which is a negative trend and indicates a decline in production, sales, a decrease in the efficiency of resource use, overall profitability of production, as well as an increase in instability financial condition enterprises. Moreover, the turnover decreased both due to the growth of current assets, and because of the decrease in revenue.

The duration of the turnover is a decoding of the turnover indicator and shows how many days current assets go through a full cycle. It is expressed in days and is calculated as follows:

Boa \u003d T / K vol.oa \u003d T * OA cf. / Sales proceeds (2.16)

Boa2010=365/31.21=11.69

Boa2011=365/38.55=9.46

Boa2012=365/19.72=18.51

If in 2008 the period of one turnover was much less than a month, then in 2009 it is almost half a month.

With a slowdown in turnover, there is an additional attraction of working capital to service production, that is, an overrun.

Additional attraction of working capital due to a slowdown in turnover is calculated as follows:

Оact \u003d (Boa 1 - Boa 0) * Vyr.r 1 / T 1 (2.17)

Okt2011 \u003d (9.46-11.69) * (78025 / 365) \u003d -2.23 * 213.76 \u003d -476.7

Okt2012 \u003d (18.51-9.46) * (147010 / 365) \u003d 9.05 * 402.76 \u003d 3645.1

In 2012, the additional attraction of current assets increased to 3645.1 thousand rubles, which indicates a deterioration in the rationality of the enterprise's economic activity and an even greater decrease in the profitability of production.

Inventory turnover ratio.

The rate of turnover of inventories (K vol. Zap.) is one of the most important factors affecting the overall turnover of working capital.

Inventory turnover period (Vzap. c / c) is the average period of time required for the transformation of raw materials into finished products and subsequent sale.

K about. app. = Cost of goods sold / Zap. cf. (2.18)

K about. zap.2010=32165/1248=25.77

K about. zap.2011=68571/2062=33.25

K about. record 2012=11187/119908=0.09

In 2011, inventory turnover increased by 7.48 turnovers (from 25.77 to 33.25) - even more than the total turnover of current assets, which indicates an increase in production rates, efficient use of inventories and irrational economic policy in the field of purchasing materials and marketing of finished products.

In 2012, the rate of deceleration of inventory turnover significantly decreased. Turnover slowed down by 33.16 turnovers and amounted to 0.09 turnovers per year. Over the three analyzed periods, inventory turnover has slowed down, so the company needs to reconsider its marketing and sales policy, and prevent the accumulation of large stocks of materials and finished products in warehouses.

zap. c/c = T * Rec. cf. / Cost of goods sold (2.19)

zap. c/c2010=365*(1248/32165)=14.16

zap. c/c2011=365*(2062/68571)=10.97

zap. c/c2012=365*(119908/11187)=3912.2

With a decrease in inventory turnover, the period of one turnover increases accordingly. Which is not a positive change and indicates that the company is irrationally using resources. Current assets are concentrated in the least liquid form and this leads to a slowdown in their turnover and loss of profit.

Accounts receivable turnover ratios and Money.

The period of repayment of receivables is the ratio of the duration of the analyzed period to the turnover ratio of receivables and is calculated:

Vdz \u003d T * DZ. cf. / Sales proceeds (2.20)

Vdz2010=365*(468/35507)=4.81

Vdz2011=365*(917/78025)=4.28

Vdz2012=365*(1513/147010)=3.75

In 2011, the period of repayment of receivables decreased, therefore, its turnover increased. This indicates a decrease in commercial credit provided by the enterprise, the return of diverted funds into circulation, and most importantly, the acceleration of the process of paying for products sold. In 2012, the turnover period was reduced by almost a whole day.

The cash turnover period looks like this:

Vds = T * DS. cf. / Sales proceeds (2.21)

Vds2010=365*(4/35507)=0.04

Vds2011=365*(202/78025)=0.9

Vds2012=365*(810/147010)=2.01

The period of cash turnover in 2008 increased slightly (from 0.04 to 0.9 turnover), which indicates a decrease in the efficiency of their use, a slight decrease in the liquidity of working capital and its turnover, and also indicates the withdrawal of funds from circulation.

In 2012, the cash turnover period increased by 1.11, respectively, which can be regarded as a positive change and an increase in the efficiency of cash use, but their share in current assets is too small (below 1%) to be considered significant. The analysis of turnover indicators is presented in table 2.12.

Table 2.12. Analysis of turnover indicators of Livadia LLC for 2010-2012

To ob.oa (number of obr. per year)	Woah (days)	Okt (thousand rubles)	K about. app.

To increase the profitability of working capital, the enterprise needs to use working capital more efficiently and change the amount of turnover and its structure, use progressive methods of selling products.

Thus, in reporting period significantly increased income from the main activities of Livadia LLC: revenue in 2011 amounted to 78,025 thousand rubles, in 2012 - 147,010 (growth rate of 188.41%), which indicates an increase in the production capacity of the enterprise.

Accordingly, production costs also increased: 1961 thousand rubles. in 2011 and 7124 - in 2012 (growth rate 363.28%, which is higher than the growth rate of revenue). Other income of the enterprise is insignificant.

The profit of the organization in the reporting period amounted to 4364.32 thousand rubles, which is 3179.66 thousand rubles. higher than profit in 2011 (growth rate 368.41%).

The number of personnel in 2011 is 47 people, in 2012 it increased by 2 people. and amounted to 49 people.

The average monthly salary increased by 116.13% (from 9687 to 11250 rubles per month).

In Livadia LLC in 2011, there was an increase in intangible assets by 1 thousand rubles, current assets by 23 thousand rubles. at the same time, the increase was due to an increase in inventories by 18 thousand rubles, short-term financial investments by 7 thousand rubles. cash for 2 thousand rubles.

These data positively characterize the activity of the enterprise.

The equity capital of LLC Livadia increased by 103.6%, this was due to the growth of retained earnings. The amount of long-term liabilities decreased by 2 thousand rubles. accounts payable increased by 21 thousand rubles, the growth was due to an increase in debt to suppliers and contractors by 11 thousand rubles, to the personnel of the organization by 5 thousand rubles, for taxes and fees by 9 thousand rubles.

Moscow State University Service

Course work

Subject:

" Economic analysis "

Subject:

"Analysis of turnover of current assets".

Done: student

FVK groups 3.1.- T

Chernenko A.A.

Teacher:

Filimonova N.N.

Moscow, 2002

Introduction. 2

1. 1. Classification of working capital. 4

2. Analysis of the composition of current assets. 6

2.1. Cash flow analysis. 9

2.2. Analysis of receivables. 10

2.3. Analysis of inventories. 13

3. Analysis of the turnover of working capital. 21

3.1. General assessment of the turnover of the company's assets. 21

3.2. Calculation of the standard of working capital. 25

3.3. Analysis of the effectiveness of the use of working capital. 27

4. Analysis of the turnover of working capital at Intek Service LLC. 29

Conclusion 35

Introduction.

To improve economic financial activities enterprises, systematic economic analysis is essential.

The main task of the analysis is to identify and use the reserves of production. Formation market economy causes the development of analysis at the micro level, that is, at the level of an individual enterprise or its division. Since these grassroots links under any form of ownership form the basis of a market economy.

What does analysis study? - economic processes occurring in the country and at the enterprise, economic efficiency, expenses, final results enterprise activities.

The economic activity of the enterprise consists of the following processes:

supplies,

production,

implementation and marketing.

At the first stage, the enterprise acquires the necessary fixed assets, production stocks.

On the second - part of the funds in the form of stocks goes into production, and part is used:

to pay employees,

paying taxes,

social security payments

other expenses.

This stage ends with the release of finished products.

At the third stage, the products are sold and the company receives funds, and, as a rule, more than the initial amount by the amount of profit received from the business.

object economic analysis are: all aspects of economic processes that are considered not in isolation from each other, but in interaction with each other. At the same time, causal relationships between individual aspects of economic processes are revealed and the factors that determine the results of these processes are revealed.

The essence of economic analysis is that it is a special kind of management activities an integral element of any management function, since the management process includes three stages:

Selection and processing of the necessary information.

Analysis of this information.

Making a managerial decision.

Thus, analysis is an intermediate link between collecting information and making a decision.

The main objective of this coursework is to determine the classification of working capital, determine the composition of working capital, give an overall assessment of the turnover of working capital, calculate the norms of working capital, analyze the effectiveness of the use of working capital, using the example of Intek Service LLC.

1. Classification of working capital.

The main working capital of the organization is entirely consumed in each production process, fully transferring its value to finished product and change their natural form.

Classification of current production assets:

1. Working capital in inventories:

a) raw materials, basic materials;

b) purchased semi-finished products;

c) auxiliary materials;

d) fuel;

e) containers and packaging materials;

e) spare parts for current repair;

g) low-value and quickly wearing out household equipment and tools.

2. Working capital in the production process:

a) work in progress;

b) the cost of developing new products;

c) semi-finished products of own production.

Raw materials- this is the object of labor, for the extraction or production of which labor was expended. Raw materials are, for example: ore, cotton.

materials- these are objects of labor that have already undergone industrial processing, for example, rolled metal. Products are made from basic materials, they form its main material content.

Semi-finished products- products of labor that have passed one or more stages of production, but require further processing or assembly.

Containers and packaging materials- represent all types of packaging and materials necessary for their manufacture.

Unfinished production- these are objects of labor that are being processed or awaiting further processing and have not yet become part of the finished product.

The composition, structure and cost of working capital of various associations (enterprises) are different, since they depend on the nature and volume of products, duration production cycle, degree of mechanization and automation of production.

The association (enterprise) not only produces products, but also sells them, therefore, in addition to circulating production assets, it also has circulation funds. TO circulation funds include finished products in the warehouse of the enterprise, cash on hand and on the current account with the State Bank, as well as in pending payments for shipped products.

The amount of circulating production assets and circulation funds in monetary terms is current assets of the association (enterprise).

All property of the enterprise can be divided into:

1. Immobilized assets (1 section of the balance sheet)

2. Mobile assets (balance sheet section 2), which include stocks, cash, receivables, etc.

Sustainability financial position enterprises largely depend on the feasibility and correctness of investments financial resources into assets. The structure of economic assets largely depends on the type of activity of the enterprise.

Analysis of the composition of current assets.

Section 2 of the balance sheet "Current assets" combines various items that include current assets (current assets).

Current assets include:

Stocks (including raw materials, materials, IBE, finished products, goods shipped, etc.).

VAT on purchased assets.

Accounts receivable short-term and long-term debt.

Short-term financial investments.

Cash (including cash, current account, foreign currency account, etc.)

Other current assets.

For the purposes of in-depth analysis, it is advisable to group all current assets into risk categories. For example, it is more likely that receivables will be easier to sell (convert to cash) than work in progress or deferred expenses. In this case, the scope of a particular type of working capital should be taken into account. Assets that can only be used for a specific purpose are more risky (less likely to be realised) than multi-purpose assets. The more funds invested in assets that fall into the high claim category, the lower the company's liquidity.

Degree of risk	Group of current assets
Minimum	Cash money affinities, easily marketable short-term securities
	Accounts receivable of enterprises with a normal financial position + stocks (excluding stale ones) + finished products of mass consumption in demand
	Industrial and technical products, work in progress, deferred expenses
	Accounts receivable of enterprises in a difficult financial situation, stocks of finished products that are out of use, stale stocks, illiquid assets

In the development of the above analysis, it is advisable to assess the trend in the ratio of hard-to-sell assets and the total value of assets, as well as hard-to-sell and easy-to-sell assets.

The upward trend in these ratios indicates a decrease in liquidity.

When conducting such an analysis, it should be remembered that the classification of working capital into hard-to-sell and easy-to-sell cannot be constant, but changes with changes in specific economic conditions.

For example, in conditions of supply instability and the ongoing depreciation of the ruble, enterprises may be interested in investing in inventories and other types of inventory, the market prices of which are steadily growing, which gives reason to classify the assets of this group as easy to sell.

There are also more serious negative consequences of such a significant amount of hard-to-sell assets on the company's balance sheet. This so-called dead capital slows down the turnover of funds in the enterprise and, consequently, reduces the efficiency of its activities. Often, at our enterprises, the drop in the values of profitability indicators is largely determined by the presence and growth of the share of hard-to-sell assets.

Finally, hard-to-sell assets reflected as separate elements of working capital distort the true picture of the enterprise's liquidity, misleading its management and business partners.

The situation is aggravated by the fact that at many of our enterprises control over the safety of inventory items has been significantly weakened.

Often carried out formally, the inventory does not allow the head of the enterprise and his accounting department to draw up an objective picture of the presence and safety of material assets.

If hard-to-sell assets make up a significant part of working capital, then the management of the enterprise and its chief accountant should take urgent measures to stabilize the financial position of the enterprise.

These measures should be:

inventory of the state of property in order to identify assets of "low" quality (worn-out equipment, stale stocks of materials;

receivables, unrealistic to collect) and clarification of the real value of the property of the enterprise;

improving the organization of settlements with buyers (in conditions of inflation, as usual, it is more profitable to sell products faster and cheaper than to expect more favorable conditions its implementation);

reduction of excessive stocks of inventory and, as a result, a decrease in cash outflow.

Of particular importance for the stable operation of the enterprise is the speed of cash flow. One of the main conditions for the financial well-being of an enterprise is the inflow of funds to cover its current obligations.

The lack of such a minimum required cash reserve is indicative of his serious financial difficulties.

Excessive amounts of cash indicate that the company actually suffers losses associated, firstly, with inflation and the depreciation of money, and, secondly, with the missed opportunity for their profitable placement and additional income.

In this regard, there is a need to assess the rationality of cash management in the enterprise.

There are various ways to do this analysis.

In particular, a kind of barometer of the occurrence of financial difficulties is the tendency to reduce the share of cash in the composition of the current assets of the enterprise with an increasing volume of its current liabilities. Therefore, a monthly analysis of the ratio of cash and the most urgent obligations (which expire in the current month) can give a fairly eloquent picture of the excess (lack) of cash in the enterprise.

Another way to assess the adequacy of cash is to determine the cash turnover ratio.

For this purpose, the formula is used:

Internal accounting data are used to calculate average cash balances.

In order to reveal the real cash flow at the enterprise, to assess the synchronism of the receipt and expenditure of funds, and also to link the amount of the received financial result with the state of funds at the enterprise, it is necessary to identify and analyze all directions of receipt (inflow) of funds, as well as their disposal (outflow).

A significant proportion of receivables in the composition of current assets determines their special place in the assessment of the turnover of working capital. In the most general form, changes in the volume of receivables for the year can be characterized by balance sheet data.

For purposes internal analysis analytical accounting information should be involved: data from order journals or records of accounting for settlements with buyers and customers, with suppliers for advances issued, accountable persons, with other debtors.

To summarize the results of the analysis, a summary table is compiled in which receivables are classified according to the terms of formation.

The analysis of short-term debt is carried out on the basis of the data of analytical accounting of settlements with suppliers, received bank loans, settlements with other creditors

(magazines-orders No. 4, 6, 8, 10, statements, etc.).

In the course of the analysis, a selection of obligations is made, the terms, the repayments of which occur in the reporting period, as well as deferred and overdue obligations.

To assess the turnover of accounts receivable, the following group of indicators is used.

Accounts receivable turnover.

It should be borne in mind that the longer the period of delay in debt, the higher the risk of non-payment.

The share of receivables in the total volume of current assets.

allowing you to manage accounts receivable:

Monitor the status of settlements with buyers on deferred (overdue) debts;

Target as many buyers as possible to reduce the risk of non-payment by one or more large buyers;

Monitor the ratio of accounts receivable and payable: a significant excess of accounts receivable poses a threat to the financial stability of the enterprise and makes it necessary to attract additional (usually expensive) sources of financing;

Use the method of providing discounts for early payment.

Inventory valuation is carried out for each of their types (inventory, finished products, goods, etc.).

The turnover of inventories characterizes the speed of movement of material assets and their replenishment. The faster the turnover of capital placed in stocks, the less capital is required for a given volume of business transactions.

Inventory turnover varies greatly across industries. In industries with a long production cycle, maintaining inventory requires more capital.

The timing of the turnover of inventories of enterprises in the same industry, as a rule, characterizes how successfully they use capital. As it was found out earlier, the accumulation of stocks is associated with a very significant additional cash outflow, which makes it necessary to assess the possibility and feasibility of reducing the storage period of material assets. The fall in the purchasing power of money forces enterprises to invest temporarily free funds in stocks of materials. In addition, the accumulation of stocks is often a forced measure to reduce the risk of non-delivery (under-delivery) of raw materials and materials necessary for production process enterprises.

We note in this regard that an enterprise that focuses on one main supplier is in a more vulnerable position than enterprises that build their activities on contracts with several suppliers.

At the same time, it should be borne in mind that the policy of accumulation of stocks of inventory items inevitably leads to an additional outflow of funds due to:

increase in costs arising in connection with the possession of stocks (rent of storage facilities and their maintenance, expenses for the movement of stocks, property insurance, etc.);

increase in costs associated with the risk of losses due to obsolescence and damage, as well as theft and uncontrolled use of inventory items; it is well known: the greater the volume and period of storage of property, the weaker (more difficult) control over its safety;

increase in taxes paid.

Under conditions of inflation, the actual cost of spent inventories (the amount of their write-off to cost) is significantly lower than their current market value.

As a result, the amount of profit turns out to be "inflated", but it is from it that the tax due will be calculated.

The picture is similar with the value added tax.

That the amount of property tax increases with the increase in the volume of stocks, probably, does not require explanation; diversion of funds from circulation, their "death".

Excessive reserves stop the movement of capital, violate the financial stability of the activity, forcing the management of the enterprise to urgently seek the funds necessary for current activities (usually expensive). Therefore, not without reason, excessive inventories are called the "graveyard of business."

These and other negative effects of a stockpiling policy often completely offset the positive effects of savings from earlier purchases.

A significant cash outflow associated with the cost of forming and storing inventories makes necessary search ways to reduce them.

At the same time, of course, we are not talking about reducing the amount of costs for the creation and maintenance of stocks of inventory items to a minimum.

Such a solution would most likely turn out to be ineffective and would lead to an increase in losses of a different kind (for example, from damage and uncontrolled use of inventory items).

The challenge is to find a "golden mean" between excessively large stocks, which can cause financial difficulties (lack of funds), and excessively small stocks, dangerous for the stability of production.

Such a task cannot be solved in the conditions of spontaneous formation of reserves; an established system of control and analysis of the state of reserves is necessary.

In the theory and practice of inventory management, the following main signs of an unsatisfactory resource control system are distinguished:

a trend towards a constant increase in the duration of storage of stocks;

continuous growth of stocks, noticeably outpacing the dynamics of the increase in the volume of products sold;

frequent downtime of equipment due to lack of materials;

lack of storage space;

periodic refusal of urgent orders due to lack (absence) of inventories;

large amounts of write-offs due to the presence of obsolete (stale), slow-moving stocks;

Significant amounts of inventory write-offs due to their deterioration and theft.

The main objectives of control and analysis of the state of stocks:

Achieving the set goals involves the implementation of the following accounting and analytical work.

An assessment of the rationality of the structure of reserves, which makes it possible to identify resources, the volume of which is clearly excessive, and resources, the acquisition of which needs to be accelerated.

This will avoid unnecessary investment of capital in materials, the need for which is reduced or cannot be determined. It is equally important in assessing the rationality of the structure of stocks to establish the volume and composition of spoiled and slow-moving materials. This ensures that inventories are maintained in the most liquid state and that funds immobilized in inventories are reduced.

Determining the timing and volume of purchases of material assets. This is one of the most important and difficult modern conditions functioning Russian enterprises problems of analysis of the state of stocks.

Despite the ambiguity of the decisions made for each specific enterprise, the general approach to determining the volume of purchases, which allows taking into account:

the average volume of consumption of materials during the production and commercial cycle (usually determined on the basis of the results of the analysis of the consumption of material resources in the past periods and the volume of production under the conditions of the intended sale);

additional quantity (safety stock) of resources to compensate for unforeseen expenses of materials (for example, in the case of an urgent order) or to increase the period required to form the necessary stocks.

Selective regulation of stocks of material assets, suggesting that attention should be focused on expensive materials or materials that have a high consumer value. attraction.

In foreign practice, the so-called ABC method has become widespread, the methods of which can also be applied at Russian enterprises.

main idea ABC method- evaluate each type of materials in terms of their value. This refers to the degree of use of the material for a specific period; the time required to replenish stocks of this material, and the costs (losses) associated with its absence in the warehouse; the possibility of replacement, as well as losses from replacement.

A small share of these material resources in the total volume of material assets stored in the warehouse determines the main amount of cash outflow during the formation of stocks.

Such materials are considered as group A resources.

Group B materials are secondary; they are less expensive than materials of group A, but surpass them in the number of items.

Group C materials are considered relatively unimportant - these are the least expensive and most numerous material values.

Their acquisition and maintenance are accompanied by insignificant (in comparison with the total amount) cash outflow.

Typically, the cost of holding such stocks is less than the cost of maintaining tight control over the ordered batches, insurance (reserve) stocks and stock balances.

Material resources are divided into the listed groups depending on the specific conditions of production.

The key point here is that group A materials are most carefully controlled.

Particular attention is paid to:

calculation of the need for them;

scheduling the formation of stocks and their use;

substantiation of the value of insurance stocks, inventory.

Calculation of indicators of turnover of the main groups of stocks and their comparison with similar indicators of past periods in order to establish the compliance of the availability of stocks with the current needs of the enterprise.

To do this, calculate the turnover of materials accounted for on various sub-accounts ("Raw materials", "Purchased semi-finished products and components, structures and parts", "Fuel", "Containers and packaging materials", "Spare parts", etc.), and then the total material turnover by determining the weighted average.

Since inventories are accounted for at the cost of their procurement (acquisition), then to calculate the inventory turnover ratio, not sales proceeds are used, but the cost of goods sold.

To estimate the inventory turnover rate, the following formula is used:

Analysis of the turnover of working capital.

The financial position of the enterprise is directly dependent on how quickly the funds invested in assets are converted into real money.

The following are related to the turnover rate:

The minimum required amount of advanced (involved) capital and related cash payments (interest on bank loans, dividends on shares, etc.);

Need in additional sources financing (and payment for them);

The amount of costs associated with the possession of inventory and their storage;

The amount of taxes paid, etc.

Separate types of assets of the enterprise have different turnover rates.

The duration of funds in circulation is determined by the combined influence of a number of multidirectional external and internal factors. The first should include the scope of the enterprise (production, supply and marketing, intermediary, etc.), industry (there is no doubt that the turnover of working capital at a machine-tool plant and a confectionery factory will be objectively different), the scale of the enterprise (in most cases, the turnover of funds at small enterprises is much higher than at large ones - this is one of the main advantages of small businesses) and a number of others.

No less impact on the turnover of assets is exerted by the economic situation in the country and the associated business conditions of enterprises.

Thus, inflationary processes, the absence of well-established economic relations with suppliers and buyers in most enterprises lead to a forced accumulation of stocks, which significantly slows down the process of turnover of funds.

However, it should be emphasized that the period of funds in circulation is largely determined by internal conditions activities of the enterprise, and first of all, the effectiveness of the strategy for managing its assets (or lack of it). Indeed, depending on the pricing policy, structure of assets, methods of valuation of inventories, the enterprise has greater or lesser freedom of influence on the duration of the turnover of its funds.

It should be borne in mind that the value of the turnover ratio of current assets is directly affected by the methodology adopted at the enterprise for their assessment, and based on the tasks and the chosen asset management strategy, the enterprise has a certain ability to regulate the value of the turnover ratio of its assets.

In the general case, the turnover of funds invested in property can be assessed by the following main indicators: turnover rate (the number of revolutions that the capital of the enterprise or its components make during the analyzed period) and the turnover period - the average period for which return to the economy invested in production commercial transactions cash.

The rate of turnover of an enterprise's assets is usually calculated using the formula:

The average value of assets according to the balance sheet is determined by the formula:

where the turnover of assets is numerically equal to the turnover ratio of current assets.

Each industrial association (enterprise) must improve the use of working capital.

To assess the use of working capital, two indicators are used:

duration of one revolution in days

H \u003d T 1 + T 2 + T 3,

T 1 - procurement cycle (acquisition and delivery of materials, fuel, etc.);

T 2 - production cycle;

T 3- product sales cycle;

2) the number of turnovers during the planned period or the turnover ratio, which characterizes the output of products for 1 rub. working capital:

K about. = T / H

T - duration of the planning period, days.

The shorter the duration of one revolution, the more revolutions the working capital will make.

With the acceleration of the turnover of working capital, the need for them decreases, a reserve is created to increase output.

To accelerate the turnover of working capital, it is necessary to reduce the time of their stay both in the sphere of production and in the sphere of circulation.

For this you need:

reduce the time of processing and assembly of products by mechanization and automation of the production process;

improve the use of new technology;

accelerate the control and transportation of products during their processing;

reduce stocks of materials, fuel, packaging, work in progress to the established standard;

ensure the rhythmic work of all production sites and workshops of the enterprise, timely delivery of materials to the enterprise and workplaces;

accelerate the shipment of finished products; promptly and quickly make settlements with consumers;

improve product quality, prevent the return of finished products from the consumer, etc.

The calculation of the standard of working capital is carried out, as a rule, by the direct account method based on indicators production program for the planned period, volume of production and sales, nomenclature, frequency of deliveries. duration of the production cycle.

The calculation can be made analytical method, based on the relationship between the growth rate of production volume and the size of normalized working capital, in the previous period.

standard- this is the minimum planned amount of working capital that is constantly needed by the association (enterprise) for normal operation. Standard (need) of working capital for materials in monetary terms H is determined by the formula

H = RD,

R - one-day consumption of materials according to the estimate of production costs, rubles;

D - the rate of working capital in days of stock.

Calculation of the standard of working capital in work in progress H o.s is determined by the formula

N o.s \u003d SPK n.s / D + Z r,

WITH - the production cost of marketable products according to the cost estimate for the planned period;

P - the duration of the production cycle, calculated according to the production schedule;

K n.z - coefficient of increase in costs (the ratio of the cost of work in progress to the planned cost of the product);

D - the number of days in the planning period;

Z r - the value of the reserve stock of work in progress.

Particular attention should be paid to the efficiency of the use of working capital, since the rational use of working capital affects the main indicators of the economic activity of an industrial enterprise: the growth of production volume, the reduction in production costs, and the increase in the profitability of the enterprise. An analysis of the effectiveness of the use of working capital should help identify additional reserves and help improve the main economic indicators enterprise work.

The main synthetic indicator of the use of working capital is:

Profitability ratio of assets (property).

The acceleration of the turnover of working capital depends on the time they spend at various stages of the cycle, reducing its duration. It is achieved by an increase in output and sales of products, a more complete and rational use of material resources, and a reduction in the time of the technological cycle. The turnover is affected by the use of the latest achievements of scientific and technological progress.

Analysis of the turnover of working capital at Intek Service LLC.

Let's analyze the turnover ratio of current assets at the enterprise LLC "Intek-Service" for 2001.

The table shows that the increase in the turnover ratio was affected by the decrease in the duration of working capital.

During the analyzed period, the duration of working capital decreased by 1 day. And accordingly, the turnover ratio increased by 0.13.

The duration of the turnover of assets may change due to the amount of revenue and average balances. To calculate the influence of factors, the chain substitution method is used:

P about. = 6000*90 / 20000= 27 days.

P vol. \u003d 13000 * 90 / 20000 \u003d 58.5 days.

P about. \u003d 13000 * 90 / 45000 \u003d 26 days.

Hence the change in the duration of the turnover of working capital due to:

Amounts of turnover of working capital

P about. = 26- 58.5 = - 32.5 days

Average balances of working capital

P about. Balances = 58.5 - 27 = + 31.5 days

The economic effect as a result of the acceleration of capital turnover is expressed in the relative release of funds from circulation, as well as in an increase in the amount of revenue and the amount of profit.

The amount of funds released from circulation due to acceleration

(-E) or additionally attracted funds into circulation (+ E) with a slowdown in the turnover of capital is determined by multiplying the one-day turnover for the sale by the change in the duration of the turnover:

E \u003d Sum of revolutions \ days * P rev. \u003d 45000 \ 90 * (26-27) \u003d - 500 million rubles.

In our example, due to the acceleration of the turnover of working capital for 1 day, there was a relative release of funds from turnover in the amount of 500 million rubles.

If the capital turned over in the reporting quarter not in 26 days, but in 27, then to ensure actual revenue in the amount of 45,000 million rubles. it would be necessary to have in circulation not 13,000 million rubles. working capital, and 13,500 million rubles, i.e. for 500 million rubles. more.

The same result can be obtained in another way, using the capital turnover ratio. To do this, from the average amount of working capital of the reporting period, it is necessary to subtract its estimated value, which would be required to ensure the amount of turnover at the capital turnover ratio of the previous year.

E \u003d 13000-45000 / 3.33 \u003d - 500 million rubles.

To establish the impact of the turnover ratio on the change in the amount of revenue, you can use a factor model:

Vk.rev. \u003d 13000 * (3.46 - 3.333) \u003d 1647 million rubles.

In k1 \u003d (13000-6000) * 3.3333 \u003d 23333 million rubles.

In total = 45,000 -20,000 = 25,000 million rubles.

P \u003d K vol. * P + K1 \u003d (3.46 - 3.3333) * 0.66 * 13000 \u003d 1087 million rubles.

After analyzing our company, we saw that due to the acceleration of the turnover of working capital in the reporting period, the company additionally received profit in the amount of 1087 million rubles.

Let us determine the change in the turnover of working capital and the amount of release (involvement) at the enterprise Intek-service LLC.

Let's draw the appropriate conclusions.

Remaining working capital for:

Average quarterly balances of working capital for 1 sq. =

(240/2 + 242 + 238 + 240/2) / 4-1 = 240 million rubles.

Average quarterly working capital balances for Q2 =

(236/2 + 242 + 244 + 242/2) / 4-1 = 240 million rubles.

Turnover of working capital for 1 sq. = 240 * 90 / 473, 7 =

Working capital turnover for 2 sq. = 240 * 90 / 509, 4 =

release amount = 509.4 / 90 * (-3.2) = - 18.1 million rubles.

Let's conclude:

The table shows that in the second quarter, the proceeds from the sale of products amounted to 509.4 million rubles. compared to the 1st quarter, in which the sales proceeds amounted to 473.7 million rubles.

As a result, the deviation amounted to + 35.7 million rubles, we can conclude that the company's profit increased due to an increase in sales proceeds, as well as due to a decrease in the turnover of working capital (in days).

In the second quarter, the turnover ratio of working capital decreased and amounted to 42.4 days, compared with the 1st quarter, the indicator was 45.6 days, the deviation was 3.2 days.

It can be concluded that the lower the turnover of working capital, that is, the less time spent on the process of turnover of funds, the higher the proceeds from the sale of products, and hence the greater the profit of the enterprise.

Thus, it is possible to advise the enterprise to continue working in this direction and continue to use its resources efficiently.

At the end of the analysis, the enterprise should develop measures to accelerate the turnover of working capital:

Reducing the duration of the production cycle due to the intensification of production:

use of the latest technologies,

mechanization and automation of production processes,

increasing the level of labor productivity,

more full use production capacity enterprises,

labor and material resources, etc.

Organization Improvement logistical supply in order to uninterruptedly provide production with the necessary material resources and reduce the time spent by capital in stocks.

Acceleration of the process of shipment of products and registration of settlement documents.

Reducing the time spent on receivables.

Level up marketing research aimed at accelerating the promotion of goods from the manufacturer to the consumer

(including market research, improvement of goods and forms of its promotion to the consumer, formation of the correct pricing policy, organization effective advertising and so on.).

Conclusion

This term paper was the study of the analysis of the turnover of working capital in the form that is universal for all enterprises, regardless of their type of activity.

Analysis of the use of working capital helps to identify additional reserves to improve the economic performance of the enterprise.

Using the example of Intek Service LLC, we considered how, by accelerating the turnover of capital, an enterprise can receive additional profit.

Based on the foregoing, we can conclude that the analysis of the financial and economic activities of the enterprise, subject to its correct implementation, will bring

company additional profit
Bibliography.

"Method financial analysis» Sheremet A.D. Moscow: INFRA-M, 2000.

"Financial analysis" Efimova O.V. Moscow Accounting, 1999

"Theory of economic analysis" M.I. Bakanov, A.D. Sheremet, Moscow: Finance and Statistics, 2001

"Analysis of the economic activity of the enterprise" Savitskaya G.V., 2nd edition, revised and supplemented, Moscow, Minsk: IP Ecoperspektiva, 2001.

Financial Activity commercial organizations is based on the analysis of a number of indicators, including the turnover of assets, the calculation of which allows you to determine how effectively the organization uses its assets or liabilities.

Asset turnover

COds \u003d V / DS, where

KOds - cash turnover ratio,
B is the revenue
DS - the amount that is on the accounts and cash of the enterprise.

If the coefficient tends to decrease, this means that the work of the enterprise is organized inefficiently, and highly liquid assets are used with a slowdown.

Turnover of tangible current assets (stocks)

The correct organization of the production process also requires effective use reserves, which is calculated in the following order:

KOzap \u003d V / ZAP, where

KOzap - inventory turnover ratio,
B is the revenue
ZAP - book value of inventories.

An increase in the indicator indicates that the demand for products sold is at a good level and the goods are not stale in warehouses. A decrease in the indicator indicates that the marketing policy of the enterprise is poorly organized and requires careful analysis.

The analysis of these indicators should be carried out not by comparison with established norms, but by considering their dynamics over the past years and comparing with the activities of competitors. So, if the indicator does not reach the norm, but at the same time, against the background of other reporting periods, it has a greater value, this indicates proper organization activities of the enterprise and a gradual increase in the turnover of assets.

Profitability analysis of organizations

Financial and economic activity any legal entity, regardless of the form of ownership, is evaluated by analyzing the absolute and relative indicators her activities. The indicators of the first group of economic burden do not carry and are purely arithmetic in nature.

Relative indicators characterize how well organized the financial and economic activities of the enterprise and show the dynamics of its development. One such indicator is return on assets, which is calculated by multiplying the asset turnover ratio by the return on sales.

Is an attitude net profit to revenue, and net profit, in turn, is the difference between the revenue received and the cost of goods sold.

Thus, the higher the return on assets, the greater the profit of the organization in the reporting period.

We analyze the results

Ra \u003d PE / SAav, where

Ra - return on assets,
PE - net profit,
SAav - average cost assets.

The return on current assets is calculated in the same way.

In order to make a complete analysis of the activities of the enterprise, all groups of factors must be taken into account: return on assets, profitability of sales, intensity of operation of the fixed assets, and the effectiveness of financial management. Constant monitoring of the company's activities will allow developing the right development strategy aimed at ensuring financial stability. Completeness of analysis entrepreneurial activity also depends on the correctness of the data provided in the reporting documentation.

Write your question in the form below

the most important integral part financial resources of the enterprise are its current assets.

Unlike fixed assets, circulating assets are entirely consumed in each production process, transfer their value to the finished product and change their natural form.

CLASSIFICATION OF CURRENT ASSETS

1. Stocks: raw materials, basic materials; purchased semi-finished products; auxiliary materials; fuel; container and container materials; spare parts for current repairs; low-value and fast-wearing household inventory and tools, work in progress; costs for the development of new products, semi-finished products of own manufacture.

2. Cash: funds on current and foreign currency accounts, on hand, etc.

3. Short-term financial investments: securities, short-term loans, etc.

4. Accounts receivable: debts of buyers and customers, subsidiaries and affiliates, bills on behalf, etc.

Each industrial enterprise should improve the use of working capital. The successful implementation of the production cycle of the enterprise depends on the state of current assets, because the lack of working capital slows down the activity of the enterprise and leads to the inability to pay their bills and to bankruptcy.

To assess the use of working capital, two indicators are used:

1) the duration of one revolution in days

H \u003d T 1 + T 2 + T 3,

where T 1 - procurement cycle (acquisition and delivery of materials, fuel, etc.); T 2 - manufacturing cycle; T 3 - product sales cycle;

2) the number of turnovers during the planning period. or the turnover ratio, which characterizes the output of 1 rub. working capital:

K about. = T / H

where T is the duration of the planning period, days.

The shorter the duration of one revolution, the more revolutions the working capital will make. With the acceleration of the turnover of working capital, the need for them decreases, a reserve is created to increase output.

To accelerate the turnover of working capital, it is necessary to reduce the time of their stay both in the sphere of production and in the sphere of circulation. For this it is necessary: to reduce the time of processing and assembly of products by mechanizing and automating the production process; improve the use of new technology; accelerate the control and transportation of products during their processing; reduce stocks of materials, fuel, packaging, work in progress to the established standard; ensure the rhythmic work of all production sites and workshops of the enterprise, timely delivery of materials to the enterprise and workplaces; accelerate the shipment of finished products; promptly and quickly make settlements with consumers; improve product quality, prevent the return of finished products from the consumer, etc.

Analysis of the turnover of current assets includes an analysis of:

1. turnover of the company's assets;

2. turnover of receivables;

3. inventory turnover.

1. Analysis of the turnover of the company's assets.

The financial position of the enterprise is directly dependent on how quickly the funds invested in assets are converted into real money.

In the general case, the rate of turnover of an enterprise's assets is usually calculated using the formula:

This indicator characterizes the rate of turnover of current assets of the enterprise.

Accordingly, the turnover of current assets will be determined as:

The average value of assets according to the balance sheet is determined by the formula:

where He, Ok - the value of assets at the beginning and at the end of the period.

Then the duration of one revolution in days is determined:

where the turnover of assets is numerically equal to the turnover ratio of current assets.

If the duration of the turnover of current assets increases, then in order to continue production and commercial activities at least at the same level, it is necessary to attract additional funds into circulation, which is calculated by the formula:

This indicator characterizes the additional attraction of funds into circulation, caused by a slowdown (acceleration) of asset turnover.

One way to assess the adequacy of funds is to determine the duration of the turnover period. For this purpose, the formula is used:

To calculate the average cash balances, internal accounting data are used (ODn - balances at the beginning of the nth month) and the formula:

where n is the number of months in the period.

In order to reveal the real cash flow at the enterprise, to assess the synchronism of the receipt and expenditure of funds, and also to link the value of the obtained financial result with the state of funds at the enterprise, it is necessary to identify and analyze all directions of receipt (inflow) of funds, as well as their disposal (outflow).

These directions of cash flow are usually considered separately in the context of current, investment and financial activities.

The inflow of funds within the framework of current activities is associated with the receipt of proceeds from the sale of products, the performance of work and the provision of services, as well as advances from buyers and customers; outflow - with payment on the accounts of suppliers and other counterparties, payment wages employees, production contributions to social insurance and security funds, settlements with the budget for taxes due. It is customary to include paid (received) interest on loans as current activities.

The cash flow in the context of investment activities is associated with the acquisition (sale) of property that has a long-term use (primarily the receipt (disposal) of fixed assets and intangible assets).

The financial activity of the enterprise is mainly connected with the inflow of funds as a result of receiving long-term and short-term loans and borrowings and their outflow in the form of payment of dividends and repayment of debts on previously received loans.

Cash flow analysis is carried out by direct and indirect methods.

The direct method has a drawback: it does not reveal the relationship between the financial result obtained and the change in the amount of cash in the company's accounts (the company receives a net profit, and its cash is reduced). When analyzing cash flow using the indirect method, the amount of net profit is converted into the amount of cash, i.e. the shortcoming of the direct method of analysis is corrected.

Unlike other approaches to assessing the financial condition, cash flow analysis makes it possible to draw more informed conclusions about how much and from what sources the funds received by the enterprise were received and what are the main directions for their use; is it enough own funds enterprises for investment activities; what explains the discrepancies between the amount of profit received and the availability of funds, etc.

2. Analysis of receivables.

To assess the turnover of accounts receivable, the following group of indicators is used.

1. Receivables turnover.

In the event that during the year the amount of proceeds from sales changed significantly by months, then an updated method for calculating the average amount of receivables based on monthly data is used. Then:

where ODZn is the amount of receivables at the end of the n-th month.

2. The period of repayment of receivables.

It should be borne in mind that the longer the period of delay in debt, the higher the risk of non-payment.

3. The share of receivables in the total volume of current assets.

4. The share of doubtful debts in the composition of receivables:

This indicator characterizes the "quality" of receivables. The trend towards its growth indicates a decrease in liquidity.

Monitor the status of settlements with buyers on deferred (overdue) debts;

Target as many buyers as possible to reduce the risk of non-payment by one or more large buyers;

Use the method of providing discounts for early payment.

3. Analysis of inventory turnover.

Estimation of inventory turnover is carried out for each of their types (inventory, finished products, goods, etc.). Since inventories are accounted for at the cost of their procurement (acquisition), then to calculate the inventory turnover ratio, not sales proceeds are used, but the cost of goods sold. To estimate the inventory turnover rate, the following formula is used:

Wherein:

The shelf life of stocks is determined by the formula:

The indicator characterizes the duration of storage of stocks.

Thus, the above indicators make it possible to characterize the state of current assets and their dynamism.

Analysis of the turnover of current assets and the duration of the production and commercial cycle. Asset turnover: calculation formula

Turnover of tangible current assets (stocks)

Profitability analysis of organizations

Popular