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How to calculate the cost-effectiveness

How to calculate the cost-effectiveness

During the evaluation of the efficiency of economic activities of the organization specialists use calculation of profitability indicators, which are also known by another name - profitability ratios.

To determine the overall performance of the organization, you need to know the value of this indicator.

instructions

1

determine profitability organizations is possible, using such officialCompany documents as "Balance Sheet" and "Profit and Loss". Profitability index shows how effectively its activities using all the property assets of the company, namely, current and fixed assets. A more precise meaning of profitability rate is to calculate the amount of profit earned by the organization at an investment of one ruble in its production facilities. To determine the level of profitability of the company is necessary to use the formula: RP = BP / (VOSR + OCP..), Where the Republic of Poland - the value of profitability predpriyatiya-
BP - accounting (book) profit organization, resulting in the reporting periode-
Osr.- calculated for the reporting period, the average value of the cost of current aktivov-
VOSR. - Calculated for the period under review, the average value of the cost of non-current assets.

2

The accounting (book) profit organization -This profit, which is obtained by the results of the reporting period, and are the basis for calculating income tax. In other words, the profit before tax organization. To know the value of this indicator, it is necessary from the value of the proceeds received from the sale of goods and services, remove: - management and business cost-
- The cost of services provided or sold goods-
- The balance of the non-sales activity-
- Surplus from operations.

3

To calculate the average productioncompany funds need to know their carrying amount at the beginning and end of the period. Then, using a simple formula to determine the average value, calculate the average value of the property company in the reporting period.

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