Can commercial products be sold more? Commodity and gross output of the enterprise
3. Gross, commodity, sold products, their composition, calculation method
GROSS PRODUCTION - A general indicator of the volume of production, characterizing in monetary form the result of the activity of an enterprise, organization (association) for a certain period. Covers both final, completed, and intermediate, unfinished products, including components, semi-finished products, products the production of which has just begun. As a result, when calculating gross output on an industry scale, the so-called repeated (double) counting arises, since intermediate products are taken into account both independently and as part of the products in which they are included as an element. Gross output can also be calculated as the difference between gross turnover (products of all workshops and divisions of the organization) and intra-factory turnover (products entering further processing in this organization). Gross output is used to calculate cost estimates for economic elements; to interconnect this indicator with other sections of the production plan.
COMMERCIAL PRODUCTS - one of the indicators of the volume of industrial production, characterizing the cost of all products produced by an association or enterprise and intended for sale externally or for one’s own needs. Includes fully completed products and semi-finished products issued or intended for external release. Commodity products also include external works and services of an industrial nature: products (services) produced for capital construction, housing and communal construction and non-productive needs of one’s own enterprise. The volume of marketable products (Tp) can be calculated using the formula: Tp = Sgp + Spf + Srp + Cps , where Cgp is the cost finished products produced from its own raw materials, sold or intended for sale; Spf - the cost of semi-finished products of the main production and auxiliary workshops sold externally or to one’s own capital construction; CRP - the cost of industrial work and services, including the cost of major repairs of equipment and vehicles of your organization; CPS - cost of processing raw materials
NET PRODUCTS - An indicator of the volume of production of an enterprise in monetary terms for a certain period of time, characterizing the cost of a newly created product.
Net production is defined either as gross output minus material costs and depreciation, or as the sum of wages spent on creating products and the enterprise’s profit from the sale of manufactured goods. Represents the enterprise-level analogue of national income
4. Types of wear of. The impact of wear and tear on the economics of an enterprise
During operation, fixed assets lose their technical properties and quality, that is, they wear out. Depreciation of fixed assets- loss of consumer properties and quality of fixed assets during operation. (loss of art from their participation in the production process).
Wear factors depend on the type of fixed assets, features of their design, quality of production, nature and operating conditions,service status. There are 2 types of wear:
- Physical deterioration OF - physical loss of the original consumer goods, which is why they gradually become unusable. Factors– qualified workers, working conditions, construction material. Physical coefficient wear (Kizn.f) is determined: Kizn.f = Zizn/Zfirst,
Zizn - wear rate of the OF; Zperv - the initial article of the OF.
- Obsolescence OF - economy. loss of PF value. Factors: pace of technological progress. Marine wear usually occurs before physical wear, that is, fixed assets that can still be used are no longer economically efficient, and, in turn, are divided into subtypes. MI of the 1st kind occurs as a result of the production of funds of the same productivity, but at lower costs. Factors - def. development of scientific and technological progress
Defined as: Im1 = Zperv – Zvost (in absolute terms, rub.),
Zvost is the replacement cost of the PF (in relative terms).
MI of the 2nd type occurs as a result of the creation of more productive funds at the same price. MI2 = Fp – [Fp/(ts * Ps) – Fpn/(tn * Pn)] * to * Ps,
where Fp is the initial cost of the old car (rub.);
tс – standard service life of the old machine (in years);
Ps is the productivity of an old machine per year (in value or
natural units);
Fn – cost of a modern car (rub.);
tн – standard service life new car(in years);
Mon – productivity of a modern machine per year (in
natural or cost units);
tо – remaining service life of the old machine (in years)
Equipment service life d.b. indicated in the publication passport.
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The gross output of an enterprise reflects the total volume of products produced by the enterprise in value terms.
Gross output of an enterprise (association) is the cost of those products (things, services) that are sold or intended to be sold externally, and the increase in the balance of its work in progress.
The gross output of an enterprise is usually called the entire amount of its products and semi-finished products produced per year before leaving the factory. The value of this production, divided by the number of annual workers, gives the worker's annual gross output. Within the same production and with the same method of calculation for different years changes in the gross output of the worker are fully consistent with changes in the general level of labor productivity in a given production. They are less suitable for comparing productivity over different years for the entire industry as a whole, if the proportion of terms in this sum changes noticeably, and are completely unsuitable for comparing different industries with each other. The fact is that the assessment of gross output includes only the value added by labor in a given production, but also the entire value of raw materials, fuel and depreciation of equipment produced in other industries, but transferred during the labor process to the manufactured product. And since the share of raw materials and fuel per unit of product is extremely different in different industries, it is completely impossible to compare the productivity of labor in them based on their gross output. However, before moving on to studying the so-called clean products, let's see what the available data on gross production can tell us.
The gross output of an enterprise is the volume in value terms of all finished products and semi-finished products manufactured in the reporting period both from our own material and from the customer’s material, as well as the cost of industrial work performed minus the cost of finished products and semi-finished products of our own production, consumed for the industrial production needs of the enterprise, regardless of the time of their production.
Calculating the gross output of an enterprise using the factory method eliminates the repetition of counting (intra-factory turnover) of the enterprise's products.
Composite element The gross output of an enterprise with a long production cycle is the change in the value of work in progress. In contrast to this calculation scheme, developed jointly by statisticians from the CMEA member countries, in Czechoslovakia the cost of construction work carried out by industrial enterprises at their own production and non-production facilities, and the cost of geological survey work carried out by industrial enterprises for their own capital construction.
The gross output of an enterprise includes the cost of finished products, semi-finished products and services of a production nature, intended for use both within the enterprise and sold externally, the cost of manufacturing and repair of containers, if it is not included in the price of the product. Gross production characterizes the total volume production activities enterprises, regardless of the degree of product readiness.
Thus, the gross output of an enterprise is the total volume of products in value terms produced during the reporting period by all workshops, minus intra-factory turnover. This means that the size of the enterprise's gross output is equal to the difference between gross turnover and intra-factory turnover.
The table shows that the gross output of the enterprise tends to increase. Over five years, production volume increased by 9%, and this increase was due to increased labor productivity with a decrease in the number of workers.
Personal tax is levied on the value of the enterprise’s gross output, and the universal one is charged on the unit value of the product. Based on the time of payment, they are classified into one-time and reusable. One-time taxes are paid once at any stage of production, reusable taxes are paid at each stage of the production cycle.
In 1941 - 1944 The volume of gross output of NKV enterprises more than doubled at constant prices in 1926/27/39/, with a relatively stable number of employees, as shown in the table below.
Gross output of an enterprise is an indicator characterizing in monetary form the volume of products produced by an enterprise for a certain period of time; part of the gross social product created at the enterprise. Due to the peculiarities of the reproduction process in various industries National economy apply various techniques determining the gross output of the enterprise. In the composition of gross output, for example, industrial enterprise includes: cost of manufactured products; cost of semi-finished products sold outside the enterprise own production; products manufactured in subsidiary and auxiliary units, and implemented externally; work of an industrial nature performed in the reporting period by order from outside, changes in the value of the remaining semi-finished products of own production during the reporting period; change in the amount of leftover products manufactured in auxiliary and auxiliary departments; change in the amount of work in progress balances; internal turnover in those special cases when it is included in the gross output. The gross output of an enterprise does not include the cost of products produced by the enterprise in a given period and processed in its own production.
Commercial products are products produced over a certain period of time and intended for sale outside the enterprise, that is, prepared for transfer to national economic circulation. The commercial products of an industrial enterprise include finished products created by the main, auxiliary, auxiliary and secondary workshops, sold semi-finished products of their own production, works and services of an industrial nature on the side. Unlike gross output, marketable output does not include changes in work in progress balances, and semi-finished products are intended for use in their own production. Therefore, the value of marketable output may be more or less than the gross output, depending on the change (increase or decrease) in the balances of work in progress and semi-finished products of their production. Based on marketable products, the expected sales volumes and profits of the enterprise are determined, cost indicators, profitability of products, production capacities, etc. are calculated.
The volume of marketable products consists of the transferred cost of used means of production (raw materials, supplies, machinery and equipment - in the form of depreciation charges), as well as expenses for wages and various payments in social funds. An increase in the growth of commercial output can be achieved not only through an increase in the quantity and quality of products, but also through changes in the structure of production (increasing the fate of material-intensive products), the use of more valuable materials, and the use of double, triple counting of the transferred cost of means of production. Therefore, the indicator of commercial output is not used to evaluate the activities of the enterprise.
The system of cost indicators of industrial products at the enterprise (industry) level includes the following indicators:
1) Gross turnover (VT) is the value expression of the total volume of products (work, services) produced over a certain period of time by all industrial production shops of the enterprise, regardless of for what purpose (outsourcing or for processing in other shops of the given enterprise) it is produced. This indicator contains a re-count. The cost of that part of the manufactured products that is used for its own industrial production needs is called intra-factory turnover (IFT).
Gross turnover includes: the cost of manufactured finished products, semi-finished products, tools and devices of own production, the cost of all work performed of an industrial nature, including major renovation, modernization and reconstruction of its own equipment, as well as changes in the balance of work in progress for this period. Defined as the sum of production data by workshop.
Gross turnover is not the main indicator of the activity of an industrial enterprise due to the presence of intra-factory turnover in its composition.
2) Gross output (GP) according to the factory method is the overall result of the industrial production activity of an enterprise for a specific period of time in monetary terms. In terms of natural and material composition, it coincides with gross turnover, but does not include intra-factory turnover.
Determined in several ways:
a) VP = VO - VZO (first method);
b) VP = finished products on the side + semi-finished products on the side + completed industrial work on orders from the outside ± remnants of semi-finished products, tools and devices of our own production ± remnants of work in progress (second method).
3) Commercial products (TP) - the final result of industrial production activities, fully prepared for sale in the reporting period. This is the cost of finished products, semi-finished products and industrial work supplied or intended to be supplied to the outside.
Calculated as follows:
TP = finished products on the outside + semi-finished products, tools and devices of our own production on the outside + industrial work on orders from outside.
Commodity products are accounted for at planned, comparable (fixed) and actual prices.
The commercial output indicator serves as the basis for determining the gross output indicator in the third way:
VP = TP ± remnants of work in progress ± remnants of semi-finished products, tools and fixtures.
4) Finished products (FP) - determined in industries with a long production cycle. It includes the cost of finished products and semi-finished products outsourced.
5) Shipped products (OP) - this is the cost of finished products, semi-finished products, industrial works shipped externally during the reporting period (accepted by the customer), regardless of the receipt of money to the account of the manufacturer.
The moment of shipment is considered to be the date of the document certifying the fact of acceptance of the cargo for transportation, or the date of the act of handing over the finished product on site, or the date the buyer signs a document confirming the completion of the work (service).
In terms of material composition, the shipped products coincide with the commercial products. The main part of commercial products are finished products delivered to the warehouse and prepared for release to the outside. However, not all finished goods produced in a given period can be shipped to the buyer in the same period. In this period, products produced earlier can be shipped, and products produced in this period can be shipped later.
Thus, shipped products are those shipped to the outside commercial products taking into account changes in the balance of finished products in the warehouse and its volume is determined as follows:
OP = TP ± GI balances at the beginning and end of the reporting period
6) Sold products (RP) are commercial products shipped and paid for by the customer in the reporting period (the moment of payment is considered to be receipt Money to a current account, to the cash register). In terms of material composition, sold products are identical to commercial and shipped products, and in terms of volume they are determined as:
RP = OP ± balances of shipped but not paid for products.
The amount of partial payment is not included in the volume of products sold if the object is indivisible (machine). If part of the shipment has been paid for (for example, out of 100 boxes - 50 boxes), then this amount can be included in the volume of products sold.
7) Value added (VA) is the value added by processing, that is, the newly created value on this enterprise(in the industry) as part of the national product on a national scale (in a planned economy, this indicator was called conditionally pure production). The value added indicator is the basis for determining the country's gross domestic product (production method) in the System of National Accounts.
DS = VP - (MZ - AO), Where
MOH- this is the cost of raw materials, materials, fuel, energy and other material costs, including depreciation.
In statistical practice, it is determined by economic sectors, including industrial sectors (based on data on the volume of products produced by enterprises in each industry).
In the USA, it is determined by excluding from the cost of shipped products the cost of raw materials consumed in the production process, materials obtained from semi-finished products, fuel, and electricity.
To fully take into account the cost indicators of the products of industrial enterprises, it is recommended to calculate the net production indicator (NP).
Net production is calculated as:
PE = VP - MZ.
IN material costs depreciation charges are included, therefore, they are excluded from the volume of net production.
Statistics carry out factor analysis of cost indicators of industrial products through their interrelationships. The influence of intra-production factors on changes in the volume of sold products is determined. This analysis is based on the index method.
Relationship between cost indicators:
RP = K r K o K t K in VO, Where
K r- sales coefficient. Shows how many rubles of products sold per 1 ruble of products shipped; the larger it is, the faster payment for products occurs in a given period (characterizes the work of financial services);
K o- loading factor. Shows how many rubles of shipped products account for 1 ruble of marketable products; the larger it is, the faster the finished product is sent by the consumer (characterizes the work of the sales service);
K t- marketability coefficient. Shows how many rubles of marketable products account for one ruble of gross output; the larger it is, the less accumulation of in-plant elements of gross output (characterizes the work of the in-plant planning service).
K in- characterizes the ratio of gross output and gross turnover; The larger it is, the lower the intra-factory turnover and the higher the degree of product readiness.
The relationship between the cost indicators of the products of an industrial enterprise is used to analyze the dynamics and factor analysis:
- total absolute change in the volume of RP.