as well as capital turnover. Turnover of capital. fixed and working capital. Functioning of working capital

Capital cannot be understood as something fixed, "as a thing at rest." He makes a constant movement, a kind of circulation. Any capital invested in production begins its movement with the advance of a certain amount of money (D) for the acquisition of means of production (SP) and labor power (PC), which are used to produce (P) certain goods, including surplus value in commodity form ( T").

After the sale of the created goods, the initially advanced capital returns to its owner, bringing him surplus value in monetary form (D "). The described movement of capital, which includes its advance, use in production, sale of goods and return to the original monetary form, forms it circuit, which can be written as follows:

D - T ... P ... T "- D".

The movement of capital within the circuit is divided into three stages. At the first stage, capital appears in the form of money and is used to purchase the necessary means of production and labor on the market. At the second stage, the production process and the creation of surplus value in the form of a commodity are carried out, and capital is represented by a productive form. At the third stage, where the increased capital appears in the form of commodities, the sale of the produced commodities and the appropriation of surplus value take place. At the end of the circuit, capital again acquires the form of money. In order for the production process to be continuous, each individual capital must simultaneously be in all three forms, and in a certain quantitative proportion.

Since the immediate goal of capital is not to obtain a one-time profit, but to systematically increase it, the movement of capital is not limited to one circuit. The circulation of capital, considered not as a single act, but as a constantly repeating process, is a circulation of capital.

The time during which the initially advanced value, passing through the sphere of production and the sphere of circulation, returns to its original form, increased by the amount of surplus-value, constitutes the time of turnover of capital. The rate of turnover of capital is measured by the number of revolutions that it makes in a year. In the process of turnover, functioning capital is divided into fixed and circulating capital.

Fixed capital is that part of productive capital (buildings, structures, machinery, equipment and other means of labor) that participates entirely in production and transfers its value to the newly created product in parts.

Circulating capital is that part of production capital that is consumed in its entirety in physical form during one production cycle and fully transfers its value to the created commodity and wholly returns to the capitalist in monetary form during one circuit. One part of the objects of labor, being processed, lose their former use value and take on a new one. Cotton-yarn-fabric. Other elements of working capital: feed, seeds, fuel, electricity - they are not materially included in the product being created and disappear as they are consumed, but their value is included in the cost of the product being created. According to the nature of turnover, working capital includes wage. capital economic cycle

The criterion for dividing capital into fixed and circulating capital is not physical properties elements of productive capital, but differences in the way value is transferred to newly created goods.

In the process of use, fixed capital is subject to moral and physical wear and tear. Physical depreciation is the process of loss by the elements of fixed capital of their use value. It is determined by a number of factors, primarily the duration and intensity of the use of machinery and equipment, and also occurs under the influence of the forces of nature: under the influence of heat, cold, water, wind.

Moral obsolescence means the loss of part of its value by fixed capital, which does not have time to be transferred to the cost of the created product due to the acceleration of scientific and technological progress. There are two types of obsolescence. The first is that the same in their technical specifications machines begin to be produced at lower costs due to the growth of labor productivity in the manufacturing industries. The social value of such machines falls, so older, more expensive machines of this design depreciate and do not have time to transfer their value to the product. Obsolescence of the second type is associated with the appearance of equipment of the same purpose, but of a more advanced design, which makes it possible to reduce labor costs per unit of output. As a result, operating equipment is partially depreciated.

Circulation and circulation of capital of enterprises.

Fixed and working capital. Physical and moral depreciation of fixed capital. Depreciation.

Investments as a source of financing for production assets.

The concept of "capital" (from lat.capitalis - main) has three main meanings. First, according to Marx, capital is a special, “self-increasing value,” or such a value that, as a result of the exploitation of wage labor, brings surplus value. The class, ideological meaning prevails here: capital is a tool for the exploitation of workers by the bourgeoisie.

Secondly, capital in a broad sense is any property (money, stocks, bonds, machines, real estate) that is “in a state of growth” (Norse), that is, it brings income to its owner. Thirdly, capital in the narrow sense is the part of the means of production considered above, processed by people (production capital).

K. Marx, starting and analyzing the theory of capital, distinguishes that the movement of capital always begins with money. However, money in itself is not capital, it turns into capital under special conditions - if it is used to obtain additional money. The initial amount of money (D) as capital makes a circuit in scheme D-T-D*, where T is the commodity, D* is the amount of money increased by the value of D. Marx called this transformation surplus value, and self-expanding money capital.

Therefore, capital is a value that brings surplus value. Formula D-T-D* is called the universal formula of capital.

Surplus value represents the value created by the labor of surplus labor time by the unpaid labor of the worker.

The ratio of the amount of surplus value to variable capital, expressed as a percentage, is called the rate of surplus value (m-rate of surplus value).

Capital- this is a certain stock of values ​​(goods) in monetary or non-monetary form, which brings income to its owner, ensuring the self-growth of wealth, especially in the form of money. Every firm is interested in its capital being in motion and being continuously reproduced. The starting point is the circulation of capital.

Circulation of capital- this is the movement of the value of factors of production through the spheres of production and circulation, as a result of which it passes through three stages and successively takes productive, monetary and commodity forms.

Stages of the production cycle:

D - T ... .. P ... T * - D *

Where D - initial capital (advanced money); T-product; RS - labor force; joint venture means of production; P - the process of production of goods and services; T* - produced product; D * - increased originally advanced capital.

Each of the three stages performs a specific function:

At the first stage, the conditions of production are formed;

The second is the production of goods and services;

The third is the sale of goods and services and profit.

The circuit, considered as a continuously renewable process, is called turnover.

There is a difference between circulation and turnover: during one circuit only a part of the originally advanced value is returned to the firm; during one turnover, the company returns the entire originally advanced value. This may require several circuits (production of many batches of shoes).

Turnover is measured by time and speed.

Turnover time- this is the period during which resources, having passed the spheres of production and circulation, return to their original (monetary) form. Turnover time is divided into production time and circulation time.

Rate of turnover is measured by the number of turnovers of resources made during the year. The number of revolutions is determined by the formula : n \u003d O / t, where n is the number of revolutions per year; O - accepted unit of time (1 year); t is the turnaround time for these resources.

The turnover is made by productive capital. Production capital- these are factors of production expressed in value form, functioning in a closed reproduction cycle. It can take two forms: as real (physical) - that which is already invested in the means of production as direct investment, and how monetary (financial)), which still exists in the form of money for the purchase of means of production (investment goods). In accordance with the methods of transferring the value of the used production capital to the value of the created product, a distinction is made between fixed and working capital.

The main capital is means of labor (buildings, equipment, etc.) that are reused in production cycles and transfer value in parts.

To working capital include raw materials, materials, labor. They are fully utilized and transfer the cost during one production cycle.

Table 8.1.- The main differences between fixed and working capital.

The process of transferring the value of fixed capital during its service life to the value of the goods produced and accumulating it in an amortization fund is called depreciation. Physical deterioration fixed capital is the loss of its use value. Obsolescence- this is a loss of value for two reasons: 1) the creation of similar, but cheaper means of labor; 2) release of more productive means of labor at the same price.

Investments is a long-term investment of public or private capital in various industries both within the country and abroad for the purpose of making a profit.

Gross investment- is the cost of replacing old equipment (depreciation) + increase in investment to expand production.

Net investment is gross investment less depreciation of fixed capital. If they are positive, then the economy is developing, if negative, then they indicate a decrease in business activity.

Offline investment- is an investment driven by innovations caused by scientific and technical progress.

Induced investment- this is an investment aimed at the formation of new production capacities.

Investment demand is the demand of entrepreneurs for means of production to restore depreciated capital, as well as to increase it. The factors that determine investment demand include: the expectation of the rate of return and the rate of bank interest. For example, if an expected rate of return of 10% exceeds an interest rate of 7%, then the investment will be profitable.

1. Evaluation of the business activity of an enterprise based on asset turnover indicators
   Equity turnover The ratio shows the rate of equity turnover or the activity of funds that shareholders risk. The ratio
2. Business activity analysis
   The return on assets increased by 7.805 and amounted to 27.412 turnovers, i.e., the amount of depreciation deductions per one ruble of sales volume decreased and, consequently, the share of profit in the price of goods increased.
3. Evaluation of the effectiveness of the use of financial resources of organizations of the agricultural sector of the region
   An increase in the efficiency of the use of fixed assets is a positive factor in the work of agricultural organizations The equity turnover ratio shows the rate of turnover of equity capital, which means activity for joint-stock companies
4. The role of business activity analysis in the organization's accounts payable management system
   At the same time, the equity turnover ratio increased by 0.16 turnover, which led to a decrease in the duration of the turnover cycle
5. Capital turnover management
   Negative trend 9 The equity turnover ratio characterizes the rate of equity turnover str 010 f No. 2 D9pred-sch 4.95
6. Analysis of financial statements. Practical analysis based on accounting (financial) statements
   The acceleration of turnover is an unfavorable phenomenon, since it requires additional attraction of highly liquid working capital
7. The use of methods of economic analysis in the diagnosis of financial insolvency
   Return on equity 0.046 0.052 0.095 0.006 114.49 0.043 180.73 Asset turnover ratio turnover 0.757 0.662
8. Accounts receivable turnover ratio
   Negative trend 9 Equity turnover ratio characterizes the turnover rate of equity capital Str 010 F No. 2 D9pred-sch 4.95
9. Impact of IFRS on the results of the analysis of the financial position of PJSC Rostelecom
   IFRS Turnover ratio of mobile devices turnover 3.125 2.929 0.196 6.2 according to RAS Duration of turnover of current assets... RAS Return on equity 0.132 0.11 0.021 15.9 according to RAS Return on sales 0.163 0.138 0.025 15.3 according to
10. On the problem of choosing criteria for analyzing the viability of an organization
    Own capital in circulation 2.8 Equity ratio 2.9 Financial independence autonomy ratio 2.10. Coefficient
11. Ways to optimize the financing of working capital in the enterprise
    Decrease in the turnover ratio of own capital Inefficient use of own funds Decrease in the turnover ratio of inventories Increase in the period of turnover of inventories
12. Guidelines for conducting an analysis of the financial condition of organizations
    The share of equity in working capital, the ratio of own funds K12 is calculated as the ratio of equity in
13. Methodology for analyzing the efficiency and intensity of the use of equity capital
    D - the number of calendar days in the analyzed period The return on equity ratio shows the rate of turnover of equity capital, how many rubles of revenue fall on 1
14. Development of a methodology for analyzing the financial condition of economic entities in the construction and repair of ships and assessing their financial and economic situation
    It characterizes the comparative positions of creditors and investors in a particular business reflects the degree of debt dependence Equity turnover ratio Qsk Shows the turnover rate of equity how many rubles of revenue fall on
15. On the normative values ​​of the coefficients in the formation of the rating assessment of the financial and economic state of the enterprise
    B A4 Equity turnover ratio KOCK Number of turnovers of equity for the year B P4 In the absence of
16. Analysis of methods and models for assessing the financial stability of organizations
    In methodology 12, solvency and financial stability indicators are combined into one group containing 10 solvency ratios total debt ratio on bank loans and loans debt ratio to other organizations debt ratio to the fiscal system internal debt ratio degree of solvency on current liabilities current liabilities coverage ratio by current assets own capital in circulation share of own capital in working capital
17. Analysis of the organization's business activity, taking into account taxation
    Shows how much production or profit the organization receives from each ruble of its funds Return on equity ratio The ratio of net profit to the average amount of equity capital Shows what kind of profit
18. Multi-criteria approach to business risk analysis
    Duration of turnover days - property 236 240 276 40 36 - current assets 189 183 227 38 44 - own funds 4 15 27 23 12 The property turnover ratio in 2013 was 1.321, ... LLC Kuban is high because Golden Rule the economy is not fulfilled the turnover is reduced and the duration of the turnover increases Table 5 shows the indicators for evaluating the profitability of Kuban LLC activity
19. Analysis of the financial condition in dynamics
    Return on assets turnover 1.359 1.781 21.454 19.607 27.412 26.053 Return on equity 0.566 0.732 8.114
20. Assessment of the financial performance of mergers and acquisitions
    Ao a 4.06 3.35 4.69 2.93 Equity turnover ratio Eqt 1.66 1.36 1.92 1.71 Inventory and cost turnover duration ITD

Working capital is characterized by a short service life and a price that is immediately attributed to production costs (purchase of materials, raw materials, products intended for sale, components, semi-finished products). As a definition, this concept means the value expression of various products that turn around in the production process only once. At the same time, they transfer their entire price to the manufactured products, that is, they create its cost.

Working capital is the same working capital that an organization consumes to carry out its own production activities. They differ in one feature - they are completely consumed by the enterprise in one period of the normal production cycle. All working capital consists of:

Inventories (raw materials, semi-finished products, materials, electricity, fuel, spare parts, components; work in progress costs; future expenses; finished marketable products).

Accounts receivable, the period of which is more than 12 months;

Money on accounts and at the cash desk;

short-term financial investment;

Other current assets.

There is a certain classification of working capital:

1. Revolving industrial funds, consisting of:

Production supplies (basic materials and raw materials, fuel, purchased semi-finished products, low-value and quickly worn out items, auxiliary substances);

Deferred costs;

Funds that are in production (semi-finished products of own production).

2. consisting of:

Unsold products in warehouses;

Shipped but unpaid products;

Goods intended for resale.

Cash on accounts, on hand and securities.

The main purpose of management control is to determine the most optimal sizes and a clear structure of these funds. The sources of their funding should also be analyzed. Working capital is divided into:

Permanent - part of current assets, the need for which practically does not change throughout the production cycle; this minimum amount of current assets is a sine qua non for normal business operations.

Variable capital - additional necessary for the implementation of various unforeseen operations.

Net working capital is a very important ratio that is used in the financial analysis of a company. It characterizes the amount of that capital, which is free from all short-term liabilities. It has another name - working capital. It is necessary for the stable maintenance of the financial stability of the organization. If working capital exceeds the value, this means that the company can easily pay off these obligations and has reserves to expand its activities.

Own working capital indicates how much of the working capital is financed by its own funds. Its presence and value is one of the most important characteristics of the financial stability of an organization. Sum equity is established as follows: the amount of short-term liabilities is deducted from the amount of working capital. The lack of this capital leads to a significant decrease in the constant and an increase in the variable part of the assets. This state of affairs testifies to the growth of the financial dependence of the organization and its unstable position. The state of this indicator is reflected in which characterizes the ratio of the value of current assets to the attracted capital.

The entrepreneur invests and launches capital into production not for the sake of a single profit, but for the purpose of continuous increment of capital value. This becomes possible thanks to the very form of movement of production assets - the form of circulation.

The circulation of capital ends in the same natural form that it began, therefore, it can be repeated again and again.

The circulation of industrial capital (production assets), considered as a continuously repeating process, forms its turnover. The turnover of capital assumes that all the capital advanced will increase in value and return in its original natural form.

The time during which this process takes place is called the time of capital turnover.

The turnaround time depends on the specifics of the investment industry. In heavy industry capital is, as a rule, turned over more slowly than in light industry. For every entrepreneur it is not indifferent how soon the capital will complete its turnover. In order to reduce the turnaround time, measures are being taken to rational organization production process to avoid downtime. Technological innovations play an important role, making it possible to speed up such production processes as wood drying, painting and drying products, catalyzation chemical reactions etc. Reducing the turnaround time also depends on the efficiency of logistics, the time of transportation of products and the speed of its implementation on the market.

If we compare the turnover time of capital with some conditionally accepted unit, for example, with a year, we will get an idea of ​​the number of turnovers made by capital per year. This indicator will characterize the rate of capital turnover. Thus, if the time of capital turnover is 4 months, the turnover rate will be 3 turnovers per year.

Different elements of production assets make their turnover differently. From this point of view, productive capital is divided into fixed and circulating capital (fixed and circulating assets).

Main capital. The tangible carriers of fixed capital are, as a rule, the means of labor: industrial buildings, machines, equipment. The means of labor participate in the production process as a whole, but transfer their value to the product in parts as they wear out. This determines the features of the turnover of fixed assets. In the course of turnover there is a kind of bifurcation of their value. One part, transferred to the product, enters in the process of circulation, completes the circuit and returns to the entrepreneur in the form of money after the sale of the goods. Accumulating, this part of the cost forms a fund for the replacement of fixed capital, or an amortization fund.

The other part exists in the form of the residual value of the instruments of labor that continue to function in the production process. As it wears and amortizes, the residual value will decrease and the replacement fund will increase. The turnover of fixed capital will be completed when all parts of its value have gone through their circuit and returned to the entrepreneur in cash, which will make it possible to purchase new equipment, build a new plant to replace worn-out old ones. In other words, all parts of the capital will return to their original natural form and complete a full turnover in value.

The intensified competition in the conditions of HTP forces entrepreneurs to renew fixed assets before the period of their physical depreciation ends. The growing threat of obsolescence of equipment has led to the spread of the practice of accelerated depreciation, which makes it possible to form a fund for the replacement of fixed capital in 3-5 years. This becomes possible due to the fact that not only parts of the value of fixed capital that are actually transferred to the product due to physical wear and tear, but also a certain share of the profit are deducted into the sinking fund. This practice makes it possible to reduce taxable profits, avoid the risk of obsolescence and depreciation of fixed capital, and generate significant self-financing resources necessary for further development and modernization of production. In many countries, the practice of accelerated depreciation is encouraged by the state in order to upgrade fixed assets.

In Russia in the 90s. 20th century there was an intensive aging of fixed assets. The depreciation coefficient of fixed assets (as a percentage of their total value) in industry increased from 36% in the 80s. to 48.5% in 1995. In many industries, the wear rate in 1996 was even higher: in the oil refining industry - 61%, in the chemical and petrochemical industry - 59.7%, in the fuel industry - 52.6%. Average age production equipment in the industry amounted to 8.42 in 1970, and already 14.9 in 1996. In 1996, 64.3% of the equipment was over 10 years old against 30% in 1970. As for equipment under 5 years old, its share in 1996 was only 8.7%, while in 1970 it was 40.8%.

The coefficient of renewal of fixed assets (commissioning of new funds as a percentage of the total value of fixed assets) decreased from 6.0% in 1990 to 1.5% in 1996. The retirement rate (liquidation of fixed assets as a percentage of their total value) was in 1996 also 1.5%. This means that the former size of the country's fixed assets is only barely maintained at the expense of new funds.

Working capital. Material and material carriers of working capital are, as a rule, objects of labor (raw materials, materials, fuel) and labor force functioning in the production process.

The objects of labor are consumed completely in their natural form in the course of one production cycle and fully transfer their value to the finished product. After the sale of goods, the value of the objects of labor returns to the entrepreneur in the form of money at each circulation of capital. Then there is a compensation of objects of labor in kind to ensure the next production cycle. In a similar way, low-value means of labor (small tools) are completely consumed in the process of one circuit. Such elements of means of labor can also be classified as working capital.

Labor power in the process of production does not transfer its value to the product either immediately or gradually. It creates new value. However, in terms of the nature of the turnover, variable capital does not differ from circulating capital. The value of the labor force reproduced during one production cycle, after the sale of the goods, returns to the entrepreneur in cash and can be used to hire labor in the next production cycle.

It should be noted that productive capital, both fixed and circulating, includes only its material elements and labor force that actually function in the production process. Such a phenomenon as the purchase of materials, semi-finished products, components, equipment for the future does not fit into the practice of rational economic management and leads to the deadening of capital and a decrease in the rate of its turnover. The spread of contractual relations that guarantee deliveries with an accuracy of the day and hour allows a modern enterprise to work “from wheels” with a minimum stock of raw materials and materials.

The process of capital consumption and the efficiency of its use can be quantified by calculating the following indicators (see table)

Calculation of indicators