The main types of results of the enterprise. Financial results of enterprises. Profit and profitability. Analysis of financial results, thousand rubles

08.05.2020

In the process of economic activity, enterprises based on any form of ownership use financial resources. These are cash incomes and receipts that are at the disposal of an economic entity. Due to these resources, the enterprise fulfills financial obligations, carries out necessary costs and expenses to ensure normal activities. Profit is a significant source of expanding production and meeting other needs of the enterprise. Therefore, an important task is the reasonable construction of a mechanism for the formation and distribution of profits. Under the conditions of transition to the market, enterprises have gained financial independence, they themselves can determine where, in what amounts and in what time frame to direct the profits received as a result of economic activity. The only regulation is the established procedure for paying taxes from profits.
Financial resources and performance of the enterprise
All financial resources of enterprises are formed from three groups of sources: at the expense of own and equivalent funds; at the expense of resources attracted from the financial market; and in the form of funds received in the order of redistribution.
Own funds and equivalent funds are formed from proceeds from the sale of products and from the sale of services, from financial transactions, from work performed by an economic method and in the form of other income. The receipt of money from their own activities also occurs in the form of depreciation deductions, the sale of retired property, in the form of stable liabilities, targeted income, through the receipt of shares and other contributions from employees of the enterprise, as well as in the form of other income.
Resources that are attracted from the financial market can be formed as a result of the sale of own shares, bonds, bills, as well as through loans. The proceeds received in the order of redistribution include insurance compensation, financial resources coming from concerns, associations or other industry structures; resources received on a share basis; dividends and interest on securities; budget subsidies and other types of resources. All of these sources are responsible for the expenditures and deductions of funds.
The funds received are spent on the resumption and expansion of production, on economic incentives for employees, on organizational and other needs. At the same time, the expenses for the resumption and expansion of production include not only capital investments, but also deductions to economic incentive funds, expenses for the purchase of securities, deductions to various other funds.
When evaluating the financial performance of an enterprise, it must be taken into account that the material basis of production is the main production assets, fixed capital. At the time of the acquisition of these fixed assets and their accounting on the balance sheet of the enterprise, they valuation matches the actual price. In the future, as fixed assets wear out, their value essentially splits: one part, equal to wear, is transferred to manufactured products, and the other, remaining, reflects the residual value of existing fixed assets.
The worn part is accumulated in cash in the depreciation fund. This fund is formed by annual depreciation deductions and is used to restore and expand fixed assets. Until the date of complete replacement of worn-out assets, the accrued depreciation charges are free and are used as an additional source of production development.
Along with fixed assets, any enterprise needs working capital for normal operation. Except negotiable production assets enterprises have circulation funds in the form of balances of finished products, shipped goods, and funds in settlements.
Enterprise costs can be divided into four main groups. The first is the cost of goods sold. AT this article only the production costs of the enterprise are included: for materials, wages and production overheads. A prominent place is occupied by commercial and management expenses. The role of spending on financial activities. It is especially important to calculate them, because they show the share of the company's debt service costs. In a market economy, this indicator gives an assessment of the viability of the enterprise. In particular, high specific gravity such expenses can lead the company to bankruptcy. The last group of costs of the enterprise is formed by non-operating expenses.
Comparison of income and expenses of the enterprise reveals the possibility of its relationship with the budget and extra-budgetary funds. These ratios are reflected in financial plan, which is compiled by the enterprise for the year with a quarterly breakdown. It serves as an important document for the organization of financial and economic work.
The difference between the cost of production and the cost of its production is surplus value. From the standpoint of society, the value of a commodity (W) includes three components: constant capital (C), variable capital (V) and surplus value (t).
However, for the entrepreneur, the goods are much cheaper. For production this product he spends capital. One part of it is spent on the purchase of means of production, and the other part is spent on paying for labor power. What it costs to produce a product and sell it reflects the cost of production. In fact, this is the sum of constant and variable capital. If we denote the costs of production through K, then we get the formula K = C + V. It can be seen from it that K lt; W. Consequently, the costs of production do not reflect the entire value, but only a part of the value, namely, the value minus the surplus value. Hence, W= K+ m, i.e. The value of a commodity is equal to the cost of production plus surplus value.
It must be borne in mind that the costs of production do not coincide with the value of the advanced capital. The advanced fixed capital enters into production costs only partially. The advanced circulating capital can repeatedly enter into the cost of production during the year, if it makes several turns per year. Moreover, labor power does not transfer its value to the product. The consumption of labor power creates new value, which replaces the cost of labor power and at the same time creates surplus value. The value of the newly created value depends on the amount of labor expended in the consumption of labor power. If the value of labor power, given the length of the working day and the intensity of labor, changes, then the amount of surplus-value changes in the opposite direction.
In order to determine the extent to which the capital increases, it is necessary to compare the surplus-value obtained during the year with the advanced capital. This indicator is called the rate of return. The rate of profit is the quotient of surplus-value divided by the total capital advanced. If we denote the rate of profit as p", then we obtain the formula p" = p / K ¦! 00%.
The great importance of the rate of profit lies in the fact that it is actually a measure of the profitability of investing capital. If the goal of the organization is to obtain the highest possible increase in value on the capital advanced, then the rate of return may regulate investment in a particular industry.
Profit of the enterprise, its formation and use
In Russian and foreign practice, the concept of "profit" is not always defined unambiguously. Usually, profit is understood as one of the generalizing estimated indicators of the production and economic activities of enterprises, corporations, which is the excess of income of an economic unit from the sale of products, works or services over the sum of all its production and marketing costs.
However, in practice, all concepts of profit can be combined into three groups.

Profit on a one-time transaction - the difference between the yen of the sale of goods or services sold and the cost of their production (acquisition).
Profit for a certain period production activities, i.e. the difference in the value of net assets per horse and the beginning of the period. This difference is adjusted for amounts withdrawn or added by owners.
In economic theory, profit is the return on capital.

Since the concept of “profit” is ambiguous, it is not always possible for a company to reliably judge the profit of an enterprise from the standard package of reporting information they provide.
Usually, when analyzing the financial results of an enterprise, there are the following concepts arrived.
Basic profit - the expected profit of the reporting year. It is used to calculate the basic profitability, when determining profit by the analytical method for the planned year for associations, enterprises manufacturing a wide range of products, when the quantity and cost are unknown, according to nomenclature positions.
Balance sheet profit - the total amount of profit for all types of production and non-production activities.
Net profit, net income that remains after all deductions and expenses from the revenue received during the operating period.
In the reporting, profit can be reflected as gross, operating and net. A company's earnings per share is the company's earnings for a given period (usually a year) divided by the number of shares of common stock issued by the company.
Return on capital - profit received from the sale of assets that were not acquired for resale. Income on the capital of an enterprise or company may be distributed among its owners, if the company's charter provides for this (or at least does not prohibit it).
General financial results are reflected in the company's income statement. This report (Form No. 2)
reflects such important information for financial analysis as revenue from product sales, profit before tax, taxable profit, profit remaining at the disposal of the enterprise.
Since a number of required indicators in reporting Russian enterprises missing, these indicators should be calculated additionally. Therefore, in order to make internal financial decisions, first of all, it is necessary to have a clear classification of income and expenses, profits and losses. At the same time, expenses and losses include all relevant items that reduce income items (except for items of profit distribution among owners and items of reinvestment of the profits received). Further, it is important to be able to separately analyze the influence of internal factors of the efficiency of the enterprise and the influence of the tax factor. Finally, it is important to quickly receive the necessary information in a form convenient for analysis.
The classification of income and expenses is the basis for determining the net result of activities for a certain period. In addition, such a classification is necessary to determine the sources of the main part of income and profit in the reporting period. It is also important for separating production cost products and non-production expenses, including expenses for management and sales, as well as expenses for financial activities. Finally, a clear classification allows one to strictly distinguish between constants and variable costs for operational analysis.
The separation of fixed and variable costs is important for the purposes financial planning. The main task here is to determine how fixed and variable costs should change at the planned rate of growth in the volume of sales, taking into account the fact that only variable costs change in proportion to the growth in production and sales.
To determine the sources of income, all activities of the enterprise are divided into main activities (production and sale of products, works and services of the enterprise), financial activities (obtaining loans and issuing them to other enterprises, participation of the enterprise in the activities of Other companies, operations of the enterprise on financial markets and foreign exchange transactions, as well as transactions that are not typical for the activities of the enterprise). This division is very important, because it allows you to determine what is the share of income received from the main activities of the enterprise and from other sources.
Thus, when generating profit, it is necessary to take into account various indicators of income and profit. Some of these indicators are reflected in the profit and loss statement (form No. 2), where they are grouped, firstly, as income and expenses for ordinary activities and. secondly, other income and expenses.
Income and expenses for ordinary activities are calculated as follows: first, gross profit is determined as the difference between the proceeds (net) from the sale of goods, products, works, services (minus value added tax, excises and similar obligatory payments) and the cost of goods sold, products, works, services.
If we subtract selling and administrative expenses from gross profit, we get a profit from sales, which characterizes the profit from ordinary activities. Taking into account other income and expenses, profit before tax is calculated. Other income and expenses, as a rule, include interest receivable, interest payable, income from participation in other organizations, other operating income, non-operating income, non-operating expenses.
Untaxed profit is the point of transition from accounting profit to taxable profit. Egrimony before tax is profit calculated in accordance with the requirements accounting.
The main purpose of the analysis of such profit is to reveal the efficiency of the enterprise for the reporting period. Accounting allows you to collect and process information about the income and expenses of the enterprise, as well as the net result for making management decisions for future periods. After this goal is achieved, the result obtained (profit before tax) must be adjusted in accordance with the tax legislation of the country.
Thus, taxable income is profit recalculated in accordance with tax requirements.
Net profit includes profit after paying income tax. In a market economy, this is the most important indicator of the enterprise. It is he who is in the center of attention of the leaders of the enterprise. The very existence of the enterprise, the possibility of its expansion, jobs for its employees, and the payment of dividends by a joint-stock company depend on its dynamics (Fig. 1).

Other income and expenses
Interest receivable
+
+
+
+
Percentage to be paid
Income from participation in other organizations
Other
operating rooms
Other
operating rooms
insrsalizashyuі shys income
Cost of sold goods, products, works,
Gross profit
Commercial
expenses
managerial
expenses

Revenue from sales
Znersalizatsnonnys
expenses

Profit before tax
income tax
Net profit
Rice. 1. Profit formation scheme
After paying income taxes and other obligatory payments, the remaining profit is distributed and used by the enterprise independently. It can be directed to the needs of industrial, consumer and social nature.
When distributing profits, it is necessary, first of all, to take into account the needs of enterprises in capital investments. Nowadays, self-financing is becoming the main source of covering the costs associated with the expansion of production. Therefore, taking into account market conditions, the size of deductions from profits to production development funds is determined, which are used for capital investments, increasing working capital, providing research and design work, and for introducing new technologies.
The market also led to the formation of a reserve fund, since the possibility of business risks increases sharply in a transitional economy. This fund is formed at the expense of annual deductions, the amount of which is determined founding documents enterprises, firms.
Profitability and ways to improve it
To determine the profitability of an enterprise, corporation and firm, profitability ratios are used. They are calculated as the ratio of profits to the funds spent or as the ratio of profits to the volume of products (services) sold.
The following indicators of profitability are most often used in financial analysis: return on sales, return on equity, profitability current assets, return on non-current assets, return on investment.
The profitability ratio of sales (Krp) shows the share of net profit in the volume of sales of the enterprise. It is calculated according to the formula
Net profit Yu0%
Net sales
The return on equity ratio allows you to determine the effectiveness of the use of capital invested by the owners of the enterprise. Usually this indicator is compared with a possible alternative investment in other securities. Profitability of own

capital shows how many monetary units of net profit earned each unit invested by the owners of the company. Calculated according to the formula
to Cyst profit 10Q%
1 Equity
The profitability ratio of current assets reveals the ability of the enterprise to ensure a sufficient amount of profit in relation to the used working capital of the company. The higher the value of this ratio, the more efficiently working capital is used. This coefficient is calculated by the formula
l^Doa Net income Current -| oo% assets
The profitability ratio of non-current assets demonstrates the ability of the enterprise to provide a sufficient amount of profit in relation to the fixed assets of the company. The higher the value of this ratio, the more efficiently fixed assets are used. Calculated according to the formula
ig Net profit. „shu
KtlVA II TT f IIP/f!
d Long-term assets
The return on investment ratio shows how many monetary units it took the company to receive one monetary unit of profit. This indicator is one of the most important indicators of competitiveness. Calculated according to the formula
to A A Net profit wgt;/o
Own equity + long-term liabilities
In general, the directions for increasing profitability are associated with the following groups of factors - this is, firstly, increasing profits and, secondly, reducing costs. Interrelated factors that directly affect the change in profit can be represented in the form of a diagram (Fig. 2).
Along with this, it must be taken into account that profit is associated with an increase in equity capital. The only way to achieve such an increase (with the exception of attracting new contributions to the authorized capital) is to increase the value of the enterprise's assets. In other words, profit is an increase in equity due to an increase in value in the production process.
"Increase in the value of assets", as a result of which there is a profit, is a fairly general concept. In particular, it involves the appreciation of property due to the action external factors, for example, the growth of the exchange rate of the foreign currency available to the enterprise occurs regardless of the efforts of the enterprise itself. However, this asset becomes more expensive, and the company has a profit. In market conditions, it is impossible to benefit for a long time, using only one's advantageous position in any area: a unique asset structure, monopoly ownership of technologies, etc. Competition will very quickly equalize the starting opportunities of all enterprises in a given industry or region. Another direction is the need to pre-commit expenses in order to obtain a return on them in the future.
Thus, the activity of the enterprise is divided into a large number of parallel activities. business transactions accompanied by expenses that must subsequently be recouped from the income received. Summing up the total income from these operations for a certain period of time (for example, a year) and comparing them with the gross expenses of the enterprise for the same period, determine the amount of profit for the period.
Consequently, in financial management, the profit of an enterprise is interpreted, firstly, as an increase in equity, which occurs due to the appreciation of assets, and secondly, as an excess of the gross income of the enterprise for the reporting period over its gross expenses. In fact, these interpretations are identical, since the appreciation of any asset occurs due to the excess of income from its sale over the costs of its acquisition and preparation for sale.

Quality,
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Quality,
innovation

innovation,
efficiency
Change in capacity utilization
Change
economy
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Quality of working life, effectiveness of innovation

Rice. 2. Scheme of the main factors and relationships that affect the profit of the enterprise
In any case, the prerequisite for the emergence of profit is the ability of the enterprise to sell its assets. Various approaches to the definition of profit determine the structure of the financial statements of the enterprise. It consists of two main reports: balance sheet and income statement. Each of them reflects the amount of reinvested profits. The balance sheet shows the amount of retained earnings accumulated over the entire period of operation of the enterprise, and the amount of net and then reinvested profit of the reporting year is calculated in the income statement.
In the theory of accounting, there is a principle of temporal certainty of the facts of economic activity. The essence of this principle is that expenses are considered committed, and incomes received not when the enterprise spends the corresponding amounts of money or they go to its current account (cash), but in the period when the business transaction that caused the occurrence of expenses took place or income. For example, the consumption of materials for production is recorded in the accounting in the month when the actual materials were received from the warehouse and processed in production. The moment of payment of the supplier's invoice for these materials does not necessarily coincide with this period - the invoice may be paid earlier (prepayment) or much later (commercial credit). A similar situation is observed in relation to the wages of employees, attributable to costs at the time of its accrual, and not payment. In the same way, the receipt of proceeds from the sale occurs not at the moment the money is credited to the seller’s account, but at the moment the goods are released and the invoice is presented to the buyer.
In the structure of the cost of production, there are costs that do not entail cash payments at all. These include depreciation charges on fixed assets and intangible assets. The depreciable items themselves were acquired earlier at the expense of long-term capital investments, i.е. the money to buy them has already been spent. Nevertheless, the accounting department monthly increases the cost of products sold by the amount of deductions from the initial cost of these objects. This allows, on the one hand, to reflect the physical and moral depreciation of fixed capital, and on the other hand, to form a cash fund for the possible replacement of obsolete objects in the future. The costs from this fund will no longer need to be included in the cost of production, as they will represent new investments. Hence the amount of accrued depreciation reduces the profit of the enterprise, but does not affect the amount of its cash costs.

Accounting for financial results necessary to assess the economic life of the enterprise. With the help of these indicators, it is possible to analyze the efficiency of the enterprise as a whole and develop a further strategy of behavior in the market, therefore, the correct accounting of financial results is very important from the point of view of the economy.

What is the financial result

The financial result is the economic result of the economic life of the organization, which is expressed as a profit or loss. Profit is the amount by which revenue received exceeds expenses incurred. Simply put, when the company remains "in the black". In the case when the organization incurred more expenses than it earned from its activities, they talk about the resulting loss. Information about financial results is important not only for internal control and management, but also for external parties interested in information of this kind. These include banking organizations that issue borrowed resources for the use of the company at a certain percentage, Insurance companies organizations insuring property, investors investing in the development of the company, and others.

Profit is a relative measure of a company's performance. In general, it symbolizes the positive result of the enterprise. But the analysis of profits can draw other conclusions. For example, after conducting a comparative analysis of profits over several years, a specialist can draw a conclusion about an increase or decrease in its value and an increase or decrease in the efficiency of the company.

The resulting loss signals the company's management about the inefficiency of commercial activities and the need to take measures to increase the company's profitability.

For effective analysis, it is important to organize timely and accurate accounting of the financial results of the organization.

Financial result from ordinary activities in accounting

The types of activities that are fixed by the constituent documentation can be classified as ordinary. Account 90 is intended to account for financial results. It is more convenient to keep “ordinary” income and expenses on sub-accounts opened for it:

1 - "Revenue".
2 - "Cost of sales".
3 - "VAT" (from sales or "outgoing" VAT).
4 - "Excises".
9 - "Profit / loss on sales." It is on this sub-account that the final result of accounting for financial results is summarized.

Accounting for financial results from the ordinary activities of the organization can be represented by the following accounting entries:

Dt 62 Kt 90.1 - sales revenue accrued;
Dt 90.3 Kt 68 - VAT charged;
Dt 90.2 Kt 20 (41, 43, 44) - reflects the cost of products, works or services.

How can you tell if a business is making a profit or a loss? To do this, you need to compare the total turnover on the debit of accounts 90.2, 90.3, 90.4 with the turnover on credit 90.1. If the credit of account 90.1 is greater than the debit turnover, then the company can reflect the profit: Dt 90.9 Kt 99. If the result is the opposite, then they talk about the resulting loss: Dt 99 Kt 90.9. Note that at the end of the reporting period, account 90 should not have a balance.

Accounting of financial results from other activities of the organization

If income and expenses cannot be attributed to ordinary activities, then in this case the concept of “Other activities” is provided for them. The list of other income consists of:

income from the provision of property for rent;
financial gain from securities and other investments;
proceeds from the sale of own assets (for example, fixed assets, intangible assets);
gratuitous economic benefits;
due fines, penalties and forfeits, as well as compensation for damage caused;
positive exchange rate differences;
written off accounts payable after the expiration of the limitation period;
inventory surplus, etc.

The list of other expenses is similar to income:

cost and costs related to the sale of assets;
VAT on sales transactions;
compensation for damage to third-party counterparties;
fines, penalties and forfeits to be paid;
commission of credit companies for settlement operations;
receivables after the expiration of the limitation period;
negative exchange rate differences;
economic benefits from received credits and loans, and others.

Others also include income and expenses arising as a result of emergency circumstances of economic activity: natural disaster, fire, accident, nationalization, etc. (extraordinary income and expenses).

To account for the financial results of other activities, account 91 “Other income and expenses” was approved. To him, unlike account 90, it is enough to open only 3 sub-accounts:

1 - "Other income";
2 - "Other expenses";
9 - “Balance of other income and expenses”.

The credit of account 91.1 reflects the revenue side of other activities. It can be in correspondence with various accounts (depending on the source of income):

Dt 62 (76) Kt 91.1 - rent has been accrued;
Dt 62 (76) Kt 91.1 - accrued proceeds from the sale of assets (for example, fixed assets, intangible assets);
Dt 62 (76) Kt 91.1 - accrued dividends, interest and other income on securities, as well as from participation in the authorized capital of third-party companies;
Dt 66 (67) Kt 91.1 - accrued interest on previously issued long-term and short-term loans and borrowings;
Dt 98 Kt 91.1 - reflects income from property received free of charge;
Dt 60 (62, 76) Kt 91.1 - expired accounts payable written off;
Dt 52, 57 Kt 91.1 - a positive exchange rate difference was revealed when selling foreign currency;
Dt 63 Kt 91.1 - the amount of the reserve for doubtful debts is included in other income;
Dt 50, 10, 41, 43 Kt 91.1 - surpluses were identified based on the results of the inventory;
Dt 10 Kt 91.1 - materials suitable for further use left after damaged fixed assets, goods, finished products were credited;
Dt 76 Kt 91.1 - reflects the amount of insurance compensation for destroyed property if it was insured.

And the debit of account 91.2 is intended to reflect debit transactions:

Dt 91.2 Kt 01.2 - the residual value of fixed assets held for sale was written off;
Dt 91.2 Kt 04.2 - the residual value of intangible assets intended for sale was written off;
Dt 91.2 Kt 10 - the cost of materials intended for sale has been written off;
Dt 91.2 Kt 68 - VAT was charged on transactions for the sale of fixed assets, intangible assets and materials;
Dt 91.2 Kt 66 (67) - interest accrued on received short-term and long-term loans and borrowings;
Dt 91.2 Kt 60 (62, 76) - expired accounts receivable written off;

Dt 91.2 Kt 76 - the bank commission for conducting settlement transactions has been charged;
Dt 91.2 Kt 52, 57 - negative exchange rate difference is reflected;
Dt 91.2 Kt 01.2, 10, 41, 43 - the residual value of fixed assets, materials, goods and finished products that were damaged as a result of an emergency, for example, in a fire in the warehouses of an enterprise, was written off.

The meaning of calculating the final financial result is completely similar to account 90:

Like account 90, account 91 assumes that there is no balance on it.

How to determine the final financial result?

Taking into account the financial results for ordinary and other activities, we figured it out. But how to determine the overall financial result for the whole enterprise? First, let's define what it consists of.

The final financial result includes:

financial result obtained from ordinary activities;
financial result revealed from other activities;
calculation of income tax.

The result of accounting for the financial result for ordinary activities is reflected:

Dt 90.9 Kt 99 - profit;
Dt 99 Kt 90.9 - loss.

The balance of accounting for the financial result for other activities is as follows:

Dt 91.9 Kt 99 - profit from other operations is reflected;
Dt 99 Kt 91.9 - a loss was received on other activities.

Income tax is required to accrue and pay Russian and foreign companies that operate within the territory of our country and apply the general tax regime. It is reflected in the following entry in the accounts:

Dt 99 Kt 68.4 - income tax has been accrued, which is intended for transfer to budget system RF.

You will learn how to determine the amount of income tax from the publication “How to correctly calculate corporate income tax?” .

For the entire financial year, the balance of profits and losses on accounts 90 and 91, as well as accrued income tax, are accumulated on account 99. At the end of each year, the result of accounting for financial results is determined and final entries are made using account 84 “Retained earnings (uncovered loss)”:

Dt 99 Kt 84 - net profit received.
Dt 84 Kt 99 - reflects the loss of the financial year.

Thus, account 99 is completely closed at the end of the year and cannot have a balance.

Accounting for the use of profits

Profit is a positive result of the company as a whole. Each enterprise is interested in its increase. But one profit is not enough for the further development of the organization. Its rational and effective use is of great importance. Net profit is the profit remaining at the disposal of the enterprise after paying income tax. It is reflected in the credit of account 84 and is subject to further distribution.

Learn how to analyze a company's net income from our article "How to analyze a company's net income" .

The main directions of distribution of net profit:

Creation of reserve capital. For joint-stock companies its creation is a prerequisite, other enterprises can create it at their own discretion:

Dt 84 Kt 82 - reserve capital was formed at the expense of net profit.

Repayment of losses of previous years:

Dt 84 Kt 84 - the loss of previous years has been repaid.

Calculation and payment of dividends to the company's participants:

Dt 84 Kt 75 (70) - dividends are reflected.

Account 70 is used when employees of the enterprise act as shareholders.

According to the results of the financial year, the enterprise may receive a loss, which is also reflected in account 84. It can be covered in several ways:

With additional capital:

Dt 83 Kt 84.

At the expense of the amount of reserve capital, which was created in previous reporting periods after the distribution of net profit:

Dt 82 Kt 84.

Due to additional attracted contributions of the company's participants:

Dt 75 (70) Kt 84.

In this way, rational use profit allows the company to remain more sustainable in the future. Modern economists consider the creation of reserve capital to be one of the most effective ways to use net profit. It will help the company to further cover the losses from its activities, which are possible in an unstable economic situation.

Analysis of the financial performance of the organization

The financial result of the financial year shows the effectiveness of the commercial activities of the enterprise. Timely and complete accounting of financial results is important from an economic point of view, as it allows you to get the most reliable data and conclusions. The analysis reveals weak sides enterprises, to find a more rational use of available resources. Analysis data can be used for current and strategic planning company activities in the future.

The main purpose of the analysis, as well as accounting for financial results, is to assess the state of the enterprise as a whole. Such data is necessary not only for the management of the enterprise, but also for the company's specialists responsible for its development in the future. Basically, the analysis uses the deductive method, that is, the movement from general financial results accounting data to private ones.

Accounting for financial results involves the preparation and submission of financial statements. Profit occupies one of the key places in analytical calculations. Distinguish between the analysis of accounting and economic profit of the enterprise. The difference between them lies in the order in which profit is determined.

The calculation of accounting profit is based on accounting data. It is this profit that we see in the income statement. Accounting profit recognizes only explicit costs for real and documented business transactions. When determining economic profit, experts also take into account implicit costs. Because of them, the difference between accounting and economic profit is formed. Implicit costs are alternative resources or missed economic opportunities (benefits). For example, a company has a savings deposit in a credit institution. If during the year it additionally invested certain financial resources in it, then the income on the deposit could grow. The amount of possible, but not received interest on the deposit will be a lost economic benefit.

Each of the types of profit can be analyzed using basic techniques:

Comparative analysis, which involves comparing the same indicators for similar periods of time, and also reveals deviations between them up or down.
Structural analysis aimed at calculating the structure of each indicator in the total weight of all data and the dynamics of its change.
Factor analysis, which is used to determine the impact of each factor on the economic result and identify the relationships between them.

Each enterprise that is interested in further increasing profits should choose those methods of analysis that best suit its specifics of activity and industry affiliation.

Formulas for calculating the main indicators that characterize the company's activities can be found in the article "Basic financial ratios and formulas for their calculation".

Results

The financial result is the result of the financial activities of the organization. It shows how effective the company was as a whole. Profit is a relative measure of an organization's performance. It indicates a positive result of the activity. However, after carrying out analytical procedures, other conclusions can be drawn about the efficiency of the enterprise.

Accounting for financial results for ordinary activities is carried out on account 90, for other types of activity - on account 91. The final financial result is determined on account 99 and consists of the balance of income and expenses for ordinary and other activities, accrued corporate income tax.

At the end of each year, account 84 reflects the amount of net profit or uncovered loss. Net profit is subject to distribution and must be rationally used from an economic point of view. The loss of the reporting period can be covered at the expense of additional and reserve capital, as well as by attracting additional contributions from the company's participants.

Currently, a large number of techniques for analyzing financial results are used. They are carried out by various services and management units of the enterprise. The analysis can be carried out on the basis of accounting or economic profit. Each of the types of analysis and accounting of financial results is closely related to each other. Without the final data of the accounting of financial results, it is impossible to carry out any type of analysis.

Formation positive financial result, is the main goal of any activity commercial organization and enterprises, including companies engaged in wholesale and retail trade. Assessment of the level of profit and profitability commercial enterprise is one of the conditions for evaluating the effectiveness of all its financial and economic activities. Constant monitoring and research of the sources and procedure for the formation of financial results of a trading enterprise can help the owners in time to take the appropriate management decisions. Only a positive financial result takes place for the stable functioning of the enterprise in the conditions of market relations. The size and level of profit of trading enterprises are a source of formation of their financial resources, and, consequently, a factor affecting the level of solvency and financial stability of such companies. In addition, profit is the main source of investment that a trading company can direct both to expand its activities and to increase current assets.

The concept of financial results - approaches of various authors

In the process of production and marketing activities in each commercial organization, based on the results of the reporting period, financial results are formed, as profit or loss. Historically, profit as the difference between income and costs has been the most common criterion for the expediency of an enterprise from an economic point of view. A positive financial result acquires special significance in a market economy, as it acquires the property of uncertainty and its further activities depend on how the owners of the enterprise dispose of it.

Financial results, as noted N.I. Sagadeeva, is one of the main indicators characterizing the efficiency of any enterprise. That is why a lot of attention is paid to the study of the essence, the procedure for determining, as well as the methodology for accounting for financial results in the economic literature. The financial result that determines the effectiveness of the organization is profit.

P.S. Ryabets and T.N. Bondarenko think that " financial results The activity of the company is the economic result of its financial and economic activities and manifests itself in the form of a loss or profit, calculated as the difference between the expenses and income of the company, as well as directly affecting the size of its own capital.

G. V. Savitskaya expresses the opinion that financial results The activities of the enterprise are characterized by the amount of profit received and the level of profitability, understanding the profit as part of the net income that the owners receive after the sale of goods produced and services provided.

As rightly emphasizes A.N. Usatenko, financial results completes the cycle of the company's activity, which is associated with the purchase and sale of products and at the same time is necessary condition the next round of its activities.

V.V. Woodwood notes that "one of the goals of any commercial enterprise is to obtain the highest possible financial result from the main activity, by the financial result of financial and economic activities, she understands final result activity of the enterprise, calculated as the difference between income and expenses received in the course of the enterprise's operation.

O.M. Aleshchenko notes that "profit is final financial result which determines the production and economic activities of the entire organization, forms the basis of its economic development.

The concept of " profit” must be distinguished from the concept of “income”. In order to plan your budget, you must clearly distinguish between these two concepts. Income is the money received at the disposal of the enterprise for the products sold or services rendered. Profit is the income of the business minus various kinds costs.

Starting from 2000, organizations form accounting information on income and expenses in accordance with the procedure established by the Ministry of Finance of Russia in the relevant Accounting Regulations "Income of the organization" (hereinafter RAS 9/99) and "Expenses of the organization (hereinafter - PBU 10/99 ), approved by Orders No. 32n and No. 33 of May 6, 1999.

In this way, modern approaches to definition concepts and essence of financial results reduced, to a greater extent, to the procedure for calculating the profit (as a positive result) or loss (negative result) of the organization.

Goals and objectives of increasing the profit of the enterprise

Financial results are the results of production, marketing, financial and other activities of enterprises and organizations. main goal of any enterprise is to obtain maximum profit, which forms the basis for the possibilities of its stable functioning and economic development, as well as strengthening financial relations with partners. The efficiency of the production and marketing activities of an enterprise depends on the knowledge of the market situation by the owners and managers and the ability to adapt the development of activities to constant changes.

Increasing financial results, that is, increasing profitability, is the material basis for realizing the interests of both enterprises and the state as a whole. The interests of the state are achieved by accruing and collecting tax payments through the system of tax authorities. The economic interests of enterprises are realized through the amount of profit remaining at their disposal for expanding production and social development. The role and importance of financial results for the development of enterprises, as well as for the formation of budgets different levels, determine the need to organize high-quality, objective accounting and control over their formation and use.

Basic company mission is not only profit maximization, but also cost minimization in order to obtain the highest values of financial results

Level and value of financial results are different indicators. So, if the value of financial results implies in monetary terms an assessment of the profit or loss received by the enterprise based on the results of a certain period, then the level of financial results is always a relative indicator and is evaluated through a system of profitability indicators.

Types of financial results according to the "Report on financial results"

In the economic literature, there are many approaches to the classification of financial results, however, in order to study the features of formation and their assessment, the classification presented is the most appropriate. in the income statement.

Gross profit (loss)

Gross profit (loss)- this is one of the interim types of financial results reflected in the income statement. Accordingly, this financial result is determined according to accounting data and represents the proceeds from the main type (s) of activity, reduced by the cost.

The price of goods (works, services) sold is inextricably linked with investments in their cost. The cost is made up of a set of costs different types(material, labor and other resources). Gross profit reflects the profitability of sales (both all and broken down by type of activity) and allows you to determine how rationally each of the company's resources is used. However, disaggregated information by activity is generally not presented in the income statement. In this connection, for a more detailed analysis of gross profit, additional, internal sources information that may be a trade secret of the enterprise.

Gross profit is determined by subtracting from the proceeds from the sale of goods (works, services) the costs of their manufacture (rendering) or acquisition. Revenue includes all amounts received from sales of core activities. They are taken into account without VAT. The cost of manufactured (or purchased) goods includes all costs incurred for its production (acquisition). If the company provides services (performs work), then when calculating their cost (and subsequently gross profit), all costs associated with their provision are taken into account.

However, the cost price when calculating gross profit is not included (clause 23 PBU 4/99):

- business expenses;

- administrative expenses.

Gross profit usually determined at the end of the month, quarter or year, but it can be calculated at any frequency and at any point in time - it all depends on the goals and objectives of the company, as well as the characteristics of its management accounting.

Profit (loss) from sales

The next type of financial results is profit (loss) from sales. This indicator just takes into account commercial and administrative expenses. In fact, by subtracting selling and administrative expenses from gross profit, one can calculate the profit (loss) from sales. In trading enterprises, as a rule, commercial expenses are represented by distribution costs, it is in their composition, in contrast to manufacturing enterprises and service industries, includes wages and social security contributions for sales staff.

In addition to the main types of activities enshrined in the Charter, an enterprise can engage in additional activities, carry out various financial transactions for the sale and purchase of assets and liabilities, as well as participate in the capital of other companies. It is these activities that form indicators such as:

— income from participation in other organizations;

- interest receivable;

- Percentage to be paid;

- other income and expenses.

Calculation of the following indicator of financial results - profit (loss) before tax is based on the summation of the above listed income and the deduction of expenses associated with other activities of the enterprise. Profit before tax is the basis for the formation of income tax or tax associated with the use of other taxation regimes, such as the simplified tax system or unified agricultural tax.

Net profit

The indicator that most fully reflects the results of the production, marketing and other business activities of the company is net profit. This indicator reflects the amount of profit, which, according to the results of the reporting period, was formed by an economic entity after deducting all costs and tax payments. It is the net profit that remains at the disposal of the owners of the enterprise, who decide where to send it. As a rule, already in the process of creating an enterprise, the owners set the direction of profit distribution.

An example of an analysis of enterprise profit indicators

Table 1 - Dynamics of the financial results of LLC "XXX" (taking into account the allocation of commercial expenses) for 2016 - 2018, thousand rubles.

Indicators	2016	2017	2018


Trade turnover	87347	117376	108907
Cost price	61699	88788	80797
Gross profit	25648	28588	28681
Distribution costs	19325	20046	21301
Revenue from sales	6323	8542	7380
Other income	11	118	145
other expenses	221	14176	11675
Profit (loss) before tax	6113	-5566	-4150
UTII	794	1228	1308
Net profit (uncovered loss)	5319	-6794	-5458

Conclusion: At XXX LLC, following the results of the reporting period of 2016, a profit was generated in the amount of 5319 thousand rubles, and in 2017 and 2018 the company received a high level of uncovered loss. So the amount of uncovered loss in 2017 amounted to 6,794 thousand rubles, and in 2018, 5,458 thousand rubles. The final financial results of the enterprise in 2017-2018 were significantly affected by the high level of other expenses, the value of which in 2017 compared to 2016 increased by 13,955 thousand rubles. In 2018, the amount of other expenses decreased compared to 2017, but still their high level led to a significant decrease in the company's profit.

Directions of distribution of the net profit of the enterprise

The company's net profit can be distributed to a reserve fund, an accumulation fund, a consumption fund, or represent retained earnings. The profit distribution mechanism may differ in accordance with the organizational and legal form of the organization, its internal structure.

Directions for the distribution of profits of a trading enterprise are shown in Figure 1.

Profit distribution directions

At present, the problem of improving financial results occupies an important place in the commercial activities of almost everyone. economic entity. As a rule, the success of the functioning of an enterprise is associated with the right choice of the sphere and type of activity of the company, the availability of the necessary funds and the ability to function in a modern market economy.

Perhaps it will be useful for you:

In this way, in general terms, in the economic literature, the financial result is understood as a qualitative and quantitative indicator of the performance of the economic activity of an enterprise or its divisions, which is expressed as the difference between the income and expenses of an enterprise for a certain reporting period (increase or decrease in the value of the enterprise's own capital due to activities in the reporting period ).

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UDC 372.881.1

THE CONCEPT, ESSENCE AND SIGNIFICANCE OF THE FINANCIAL RESULTS OF THE ENTERPRISE

I. A. Lysov, Economist, Retail Trade LLC, Tolyatti (Russia)

Annotation. The concept, essence and significance of the financial results of an enterprise are relevant for any enterprise, regardless of whether it is large or small. The financial result of the economic activity of the enterprise is determined by the indicator of profits and losses generated during the reporting year. It is proposed to consider the role and significance of financial results, concepts and essence.

Keywords: financial result of the enterprise, profit, loss, revenue, product, product.

Leading Economists in Economic Analysis and financial management in their research, they give a great deal of attention to the study of the financial results of the economic activity of an enterprise, however, they approach the definition of the economic content of this concept in various aspects and with varying degrees of detail. O. V. Efimova, understanding the financial result of the enterprise’s activity as profit, at the same time notes that “indeed, the final result is the one that the owners have the right to dispose of,” and in world practice it means “increase in net assets”.

G. V. Savitskaya notes that “the financial results of an enterprise are characterized by the amount of profit received and the level of profitability”: “profit is part of the net income that business entities directly receive after the sale of products.”

IA Blank, analyzing the financial mechanisms for managing the formation of operating profit, characterizes the balance (total) profit as "one of the most important results of the financial activity of the enterprise."

This is the sum of the following types of profit of the enterprise: profit from the sale of products (or operating profit), profit from the sale of property and profit from non-sales operations with the main role of operating profit, the share of which is currently approximately “90-95% total amount arrived".

V. V. Bocharov considers the procedure for the formation of the financial results of an enterprise (profit), systematizing the items included in the income statement and showing the formation of profit from gross to retained (net) profit (uncovered loss) of the reporting period.

Now let's try to generalize all these concepts and give a general definition of the financial result.

there. The financial result is a general indicator of the analysis and evaluation of the effectiveness (inefficiency) of the activities of an economic entity at certain stages (stages) of its formation.

The financial result of the organization's activities serves as a kind of indicator of the importance of this organization in the national economy. In market economic conditions, any organization is interested in obtaining a positive result from its activities, since, thanks to the value of this indicator, it is able to expand its capacity, materially interest the personnel working for this organization, pay dividends to shareholders, etc.

From the point of view of accounting, the final financial result of the enterprise's activity is expressed in terms of profit or loss, formed on the account "Profit and Loss" and reflected in the financial statements.

The overall financial result of the enterprise, accounting profit or loss, is the sum of the result (profit or loss) from the sale of products, goods (works, services), the result (profit or loss) from financial activities (interest received and paid), operating activities (income and expenses), income and expenses from other non-operating transactions.

For any enterprise, obtaining a financial result means recognition by the society (market) of the results of its activities or obtaining results from the sale of a product produced at the enterprise in the form of products, works or services. Then the final financial result for the enterprise will be the balance of the result from the sale and the costs incurred by it to obtain it. For the state, the final financial result of the activities of a commercial enterprise is

tiya will be the tax contained in its composition.

For the owner, investor, the final financial result is a part of the profit after tax distributed in his favor. The remaining profit after its taxation and payment of dividends to owners, interest to creditors is the net final financial result of the enterprise for its production and social development.

The financial result of the main activity (from sales) is sales revenue, for the majority of enterprises operating in the Russian economy, reflected on an accrual basis (based on data on shipped products). It is possible to judge what final financial result was obtained based on the results of sales, only by clearing it of the indirect taxes due to the state and the cost price.

The excess of revenue over tax expenses and the costs that form it, will give a positive result, called profit from sales. The opposite situation will show a loss on sales. Thus, the final financial result from sales is the profit or loss received as a result of sales revenues, reduced by the amount of tax expenses and production costs (performance of work, provision of services).

The final financial result from the ordinary activities of the enterprise is called profit (loss) from ordinary activities and is the total result of its main and other activities.

The final financial result from ordinary activities, increased or decreased by the balance of extraordinary income and expenses that are random in nature and occur quite rarely, forms retained earnings (uncovered loss). Revealing the amount of retained earnings (uncovered loss) ends the financial year of the enterprise.

Thus, examining the structure of the "Financial results" section of the chart of accounts and the income statement, we can draw the following conclusions:

Financial results are a systemic concept that reflects the joint result of the production and commercial activities of an enterprise in the form of sales proceeds, as well as the final result of financial activities in the form of profit and net profit;

The final financial result is understood as the difference between income and expenses in the context of various types and activities of the enterprise as a whole;

The net financial result is the final financial result, cleared of various withdrawals in favor of both the budget (income tax) and owners (dividends).

So, we figured out the concept of financial results and found out that one of the financial results is the profit of the enterprise.

Profit is the final financial result of the economic activity of the enterprise. However, the financial result can be not only profit, but also a loss that has arisen, for example, due to excessively high costs or shortfall in income from the sale of goods due to a decrease in the supply of goods, a decrease in consumer demand.

In the process of analyzing the results of the work of a trading enterprise, various values of profit are used: profit (loss) from the sale of goods; profit from the sale of fixed assets and other property; gross (balance sheet) profit; net profit (profit remaining at the disposal of the enterprise); taxable income; income from other activities of the enterprise. Differences in the concepts of profit are determined by their economic content and the provisions of the legislation on the taxation of enterprise profits.

It is necessary, however, to emphasize the inconsistency of profit as a generalizing indicator of activity. Both domestic and foreign practice shows that profit growth can be not only the result of effective economic activity. It can be achieved, for example, due to the monopoly position of the manufacturer.

The efficiency of economic activity is expressed by the economic category of profitability. Profitability in general acts as profitability, profitability. That is, making a profit allows us to talk about the effectiveness of the organization and implementation of economic activities. However, the mass of profits does not yet allow to adequately assess how effectively the activities of the enterprise are carried out. For such an assessment, relative indicators of profitability are used as the ratio of the profit received to the funds advanced and spent on the production of products.

An interest in profit growth means, therefore, an interest in the comprehensive use of all directions and methods for improving the results of economic activity, reducing production costs, saving living and materialized labor, and in a more complete mobilization of internal reserves. In addition, it is of interest not only in the production of products with the smallest possible individual costs, and those products that satisfy the needs of society in it are in demand. That is, the more efficient economic activity, the greater is the profit and, consequently, the more funds can be used to finance expanded reproduction, social development and financial incentives business participants.

The profit formation mechanism is one of the components of the economic mechanism operating in society at a certain historical stage of its development. The economic mechanism determines the conditions for the functioning of economic entities in society and, thus, the conditions and general order formation of financial results of their activity.

Thus, the concept of profit as a financial result of activity expresses a certain form of realization of economic relations regarding the formation, distribution and use in monetary form of a part of the value of the surplus product that has developed at a certain stage of the development of society, in a certain economic system and is realized through the economic mechanism created in it.

This approach allows us to distinguish between the concepts of profit as an economic category and as a financial result of an economic entity.

From the point of view of management and, first of all, the function of analyzing financial and economic activity, such a distinction between concepts makes it possible to clearly understand not only the objective foundations of the flow of profit formation processes, but also the specific form of their organization. It becomes possible not only to determine the factors influencing the process of formation of financial results, but also the boundaries of their manageability, which makes it possible to single out among them dependent and independent of the economic entity, production and non-production, etc. From the understanding of financial results as a dynamic phenomenon, dependent on the economic mechanism, should

the practical need to take into account the change in the methods of determining profit, to ensure comparability of financial results in different periods of time.

Profit as a financial result appears in the following main types: gross, taxable and net profit.

The formation of financial results is understood as a certain sequence (algorithm, methodology), ultimate goal which is the determination of the value of the indicator of balance sheet (gross) profit (loss) and its derivatives (taxable, net and retained earnings, uncovered loss).

Profit as an economic category reflects the net income created in the sphere of material production in the process of entrepreneurial activity. The result of the combination of factors of production (labor, capital, natural resources) and useful productive activity of economic entities is finished products, which becomes a commodity if it is sold to the consumer.

At the stage of sale, the value of the commodity is revealed, including the value of past embodied labor and living labor. The value of living labor reflects the newly created value and is divided into two parts. The first is the wages of workers involved in the production of products. Its value is determined by a number of factors due to the need to reproduce the labor force. In this sense, for the entrepreneur, it represents part of the cost of production. The second part of the newly created value reflects the net income that is realized only as a result of the sale of products, which means public recognition of their usefulness.

At the enterprise level, in terms of commodity-money relations, net income takes the form of profit. In the commodity market, enterprises act as relatively isolated commodity producers. Having set the price for the product, they sell it to the consumer, while receiving cash receipts, which does not mean making a profit. To identify the financial result, it is necessary to compare revenue with production and sales costs, which take the form of product costs. When revenue exceeds cost, the financial result indicates a profit.

An entrepreneur always aims at profit, but does not always receive it. If revenue

equal to the cost, it was only possible to recover the costs of production and sales of products. When implemented without loss, there is no profit as a source of production, scientific, technical and social development. At costs exceeding revenue, the company receives losses - a negative financial result, which puts it in a rather difficult situation. financial position not excluding bankruptcy.

The value of profit is that it reflects the final financial result. At the same time, the amount of profit and its dynamics are influenced by factors both dependent and independent of the efforts of the enterprise. Practically outside the sphere of influence of the enterprise are market conditions, the level of prices for consumed material and raw materials and fuel and energy resources, depreciation rates. To a certain extent, factors such as the level of prices for products sold and wage, the level of management, the competence of management and managers, the competitiveness of products, the organization of production and labor, its productivity, the state and efficiency of production and financial planning.

These factors affect profit not directly, but through the volume of products sold and the cost, therefore, in order to find out the final financial result, it is necessary to compare the cost of the volume of products sold and the cost of costs and resources used in production.

Let us name the conditions for the growth of profits in trade: expansion of the range of goods; introduction of commercial innovations in order to increase sales of new products that are in high demand; no fear of commercial risk; prudent use of funds derived from cost savings.

At the same time, it is necessary to choose a strategy for commercial activity: either to reduce the price of goods in accordance with a decrease in demand for available goods in the expectation that this will lead to an increase in sales volume and may increase profits, or not to change the price, focusing on maintaining the stability of moderate demand . By choosing the first option of the strategy, it is possible, in addition, to achieve an acceleration in the turnover of funds (own working capital). According to the second option, it is possible to freeze equity for some time, as a result, it may be necessary to attract

a lot of capital, which will require additional financial costs for the payment of interest on loans and advances.

Profits and losses represent the difference between the estimated costs and revenues and the actual costs incurred and revenues received. Moreover, this difference may be a consequence of the choice of business strategy.

It is not enough to simply cover production costs with sales proceeds, it is also necessary to make a profit. The essence of profit is most fully expressed in its functions. In the domestic literature there is no consensus on the issue of profit functions; in different sources, there are from two to six functions. Most economists identify three functions that are most consistent with the nature of profit. These are the functions of a generalizing performance indicator, reproductive and stimulating functions. In addition, profit acts as a source of remuneration for owners of shares, shares in the authorized capital of the enterprise; serves as a source of replenishment of the state budget.

In accordance with the first function, profit characterizes the result of the activity of an economic entity. Profit is the result of its activities, which depends on the level of cost, quality and quantity of products, labor productivity, the degree of use of production assets, the organization of management, logistics and other income, and most importantly, on how much this product satisfies the needs of the consumer , that is, whether it is in demand. The amount of profit is formed under the influence of many factors and reflects almost all aspects of the activity of an economic entity.

Along with the evaluation function, profit performs the function of stimulation. The stimulating function of profit is manifested not only in the direction of part of it for economic stimulation, but is associated with the entire process of formation, distribution and use of profit. At the same time, profit serves as a “node” for the interconnection of the interests of society, the organization and individual employees.

Another function of profit is the reproductive function, in which it acts as one of the main sources of resources for expanded reproduction. Disclosure of the economic nature of profit, objective general economic patterns and prerequisites for its formation and

existence is necessary, but not sufficient for understanding the mechanism of corporate profit formation in modern conditions.

Profit is understood as the result of the activity of the firm (company, corporation). Profit maximization is a prerequisite for all businesses: profit is maximized when marginal revenue equals marginal cost. The rule of profit maximization is to choose such a volume of production and sale of goods so that its price is equal to long-run marginal cost. As you know, the costs of the company are divided into fixed and variable. marginal cost represent the additional variable costs associated with each additional unit of output, sales of products.

Enterprises, as a rule, solve the problem of profit maximization for a long-term period. Those that are not closely involved in profit maximization have little chance of survival. Firms that survive in a competitive environment make long-term profit maximization a top priority.

Enterprises with a significant amount of equity capital can receive additional income in the form of interest on equity. In this case, taxable income is increased by the amount of interest received on equity, which is reflected in the income statement. In foreign practice, the term "costs of lost opportunities", "lost (underreceived) profits (benefits)" is used. Opportunity costs are understood as the costs and loss of income that arise due to giving preference when there is a choice of one of the ways to carry out business operations while refusing another. possible way. In the educational literature on market economy and entrepreneurship, they are called implicit or implicit costs. Together with explicit costs that are reflected in accounting, they form economic

costs. Accordingly, costs and profits are called accounting and economic.

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THE CONCEPT OF THE ESSENCE AND VALUE OF THE FINANCIAL RESULTS OF THE ENTERPRISE

I. A. Lysov, Ltd. "Retail-trayd", economist, Togliatti (Russia)

Abstract. The concept of the essence and value of the financial results of the company relevant to any enterprise, regardless of whether large or small. The financial result of the economic activity of the enterprise is determined by the rate of profits and losses generated during the reporting year. Invited review of the role and importance of financial results, the concept and essence.

Keywords: financial result of the enterprise, profit, loss, revenue, product, product.