Are revenue and turnover the same thing? We understand the financial performance of the company & nbsp. How to calculate the annual turnover of an organization What is the turnover of an enterprise for a year

The turnover of an enterprise, or turnover, is called gross income - this is the amount of money that the company received as a result of the sale of its product (goods or services). Sales revenue, or the turnover of a trade enterprise, is used for reporting in statistics.

Financial company turnover referred to as proceeds from sales. In trade, the term "turnover" is used, denoting the amount of money that came in for a certain period: month, season, year.

Enterprise turnover is the total volume:

• shipped goods of own production, work performed and services performed by one's own efforts;
• goods sold;
• sold materials, raw materials, components, fuel, which was previously purchased for their use in production.

Turnover of the company's funds- this is the movement of production factors, expressed in material equivalent.

The stock turnover of the enterprise covers the production and turnover spheres. Working capital of the company, or cash turnover of the enterprise, is a set of circulation and production funds.

Revolving funds differ from the main ones in that they function fully in all production cycles. Their costs are included in the mandatory production costs. Working capital can be materials, fuel, raw materials, energy, purchased semi-finished products and spare parts.

circulation funds- this is the totality of all funds that function in the sphere of circulation: cash, goods for sale, receivables, etc.

The company's turnover includes the total value of goods of own production that were shipped, as well as the cost of work and those services that were performed by one's own efforts. In addition, the turnover of the organization also includes the proceeds from the sale of purchased goods (excluding VAT, excises and other obligatory payments).

The volume of shipped goods internal production in the turnover of the enterprise is the value of products that are produced by a legal entity and shipped during the reporting period or released for sale. Also, the volume of shipped goods refers to a direct exchange with other legal entities and individuals, regardless of whether the seller received money.

This indicator of the company's turnover is a direct reflection of the company's commercial activities.

Retail business turnover becomes revenue from goods purchased for resale (minus value added tax, sales tax and other obligatory payments), revenue from transferred (shipped) goods of domestic production, income from other activities (for example, from leasing premises, transport, equipment and etc.). The turnover of a retail trade enterprise does not include income from the sale of its fixed assets, assets, currency, shares and other securities.

Turnover of a wholesaler is the proceeds from the sale of goods purchased for resale (excluding VAT and other obligatory payments), from intermediary services (agent's commission minus taxes), the value of the shipped (transferred) goods of its production, profit from other activities (renting premises, equipment, transport, etc.). There are no in circulation, as well as in retail trade, income from the sale of their funds, financial assets, currency, securities, etc.

The company's cash flow is the sum of all payments, cash and non-cash, in a specific period of time. This is the name of the individual circuit of the real movement of money of the company. It is based on trade.

The company's cash flow consists of two parts:

• the first occurs between companies in the implementation of the product. Simply put, these are commodity payments;
• the second part of the company's cash flow is payments for all other operations that are not related to the product (employee salaries, dividends, taxes, etc.). Do not confuse the concept of "cash turnover" with "payment turnover".

When it comes to money circulation, we mean operations related to cash and non-cash payments. The payment turnover are, together with cash, other types of payments: with the help of checks, bills of exchange, etc. That is, money turnover is part of the entire payment turnover.

How to increase turnover with the help of HR managers: a business idea

HR managers promote various incentive programs in companies and purchase goods from various market segments. The editors of the magazine "Commercial Director" found out what strategy to use in order to grow the turnover of your company at the expense of the HR departments of partner companies.

What are the types of turnover in the enterprise

1. Cash turnover These are all cash payments.

Every organization in Russia, regardless of its legal form, must keep available funds in a commercial bank account.

The company's cash flow, or cash payments, operate between legal entities and individuals, individuals, as well as among all kinds of enterprises, organizations, institutions.

Cash payments include all kinds of payments by companies of financial resources to employees. The cash turnover of the enterprise includes wages, scholarships, pensions, financial assistance and subsidies, receipts from the financial system, etc.

Individuals use cash payments when buying and selling, providing and paying for services. Also, the cash turnover of the enterprise is the issuance of the following payments: wages, scholarships, financial support for military personnel. Banks pay funds within the time period stipulated by the agreement, the decision of the Government of the Russian Federation and the instructions of the NBU.

Cash is issued by transferring from the settlement account of the organization using checks, where the purpose of the amount withdrawn from the account is indicated on the reverse side.

Cash that enters the cash system of the organization per day must be deposited daily with the bank that serves the company. Thus, there is a daily cash turnover of the enterprise.

An organization can leave cash at its cash desks only within a certain limit, the limit of which is set by the bank that serves it. This limit is determined taking into account the specifics of the company's activities, because the amount that will be able to ensure the smooth functioning of the enterprise's capital turnover should remain in the cash registers, starting from the next business day after the cash is handed over.

1. Non-cash money turnover

Non-cash money turnover is called that part of the turnover of the enterprise's capital, where cash flows go by transferring them to bank accounts or through mutual claims that exclude the banknotes themselves.

For the most part, the cash flow of the enterprise occurs through non-cash payments. This happens because non-cash turnover has significant advantages over cash and is more effective both for people in general and for individual economic entities.

Reasons for the effectiveness of cashless payments:

1. Significant reduction in public distribution costs.
2. Creation of the necessary conditions for the regulation by the state of the turnover of the capital of the enterprise.
3. The improvement of the economic condition of each subject in the system of cashless payments - the acceleration of the circulation of money gives a close connection of people with banks and the monetary system as a whole.

Thus, each participant in money circulation is in an advantageous position, paying off in a non-cash way with banks, as well as within the framework of the money turnover of enterprises.

The system of cashless payments includes:

• their organizational principles;
• system of requirements for the company;
• formats and methods of calculation;
• rules for the order of payments;
• settlement documentation required in the financial turnover of the enterprise.

System of principles of cashless settlement:

• settlement in a non-cash form is carried out after the provision of services or the provision of goods;
• both the non-cash money turnover of the enterprise and the settlements of individuals take place with the direct participation of banks and are controlled by them;
• all non-cash payments are carried out on a voluntary basis;
• the payer has free funds or the right to a loan.

Requirements to the organization of cashless payments:

• payments must be timely;
• conditions must be created to ensure control and discipline of the non-cash financial turnover of the enterprise, including banking agreements;
• unscheduled cash flows in settlements are unacceptable, it is necessary to bring the moment of providing goods and services with payment as close as possible.

Methods of non-cash payments:

• transfer of money from the payer's current account to the recipient's account;
• settling the claims of both parties.

Types of non-cash payments: out-of-town, local, republican and interstate.

Non-residents are non-cash financial transactions within the turnover of the enterprise among suppliers and buyers, which are serviced by banks in different cities. Local non-cash payments are called cash flows between the supplier and the buyer, when the service is carried out by one or different banks within the same locality.

Depending on the application, including within the framework of the financial turnover of the enterprise, non-cash payments can be made:

• during commodity operations for goods and materials after the services provided and the work performed;
• in transactions not related to goods and services (tax and other payments to the budget, loans).

Depending on the nature of settlement documents, including the cash flow of the enterprise, there are the following types of cashless payments:

• payment requests;
• money orders;
• payment requests-orders;
• checks;
• letters of credit and bills of exchange.

To carry out the financial turnover of the enterprise, it is mandatory to open settlement accounts in banks.

• Performance indicators - the main sensors of the company

They are started by legal entities that are engaged in commercial activities, and citizens engaged in entrepreneurial activities without forming a legal entity (PBOYuL).

Funds from it can be spent independently by the account holder. It is possible to produce the following operations:

• credit financial receipts to the account;
• write off money at the request of the owner.

To open a current and current account in order to ensure the financial turnover of the enterprise, the following are subject to submission to a banking institution: documentation:

• statement;
• state registration of the company;
• a copy of the memorandum of association on the establishment of the company;
• a copy of the company's charter;
• two cards with samples of signatures and a seal imprint certified by a notary;
• certificate from the tax office on registration.

The Bank does not have the right not to open an account for a client if future non-cash transactions in the company's turnover have a legal basis.

Depending on the nature of monetary relations the turnover of the enterprise can be:

• settlement, servicing payments for goods and services, and non-commodity obligations of legal entities and individuals;
• credit turnover;
• financial turnover of the enterprise serving monetary relations.

Depending on the entities between which the funds are transferred, in the financial turnover of the enterprise there is a movement:

• interbank (between banks);
• banking (among banks and legal entities, as well as individuals);
• between legal entities;
• between legal entities and individuals;
• between individuals.

• Examination of project documentation: when is it needed and how to conduct it

How to analyze the turnover of an enterprise

Based on analytical and accounting, the financial turnover of an enterprise is estimated as the sum of credit turnover and accounts that reflect cash flows in operations, investments and commercial activities.

The financial turnover of the enterprise is the totality of cash flows in various monetary transactions. This kind of grouping makes it possible to identify the economic efficiency of each of the above directions of the enterprise's turnover. The overall result shows changes in the company's economy, it is reconciled with the initial and final financial balance on the balance sheet in the accounting department.

If you analyze the movement of the enterprise's cash flow, you can very accurately see what is the difference between the amount of financial flow that took place in the organization in the last reporting period and the funds received during this time. When a comprehensive study of the commercial component of the company is carried out, economic indicators are analyzed taking into account the specifics of financial flows, that is, the overall turnover of the enterprise.

This is partly because modern reports reflect economic results that are formed on an accrual basis, not through a cash register. In other words, all cash receipts and expenditures of the company are reflected in the reporting period as they were, regardless of the actual movement of the financial turnover of the enterprise.

There is another moment. Basically, the receipts and outflows of finance do not have a fundamental impact on the total cash flow at the enterprise for the reporting period, since they are considered in the current period as income and expenses. We are talking about income and expenses of future reporting periods, receiving and paying advances, receiving and repaying loans, acquiring fixed assets, financial investments, etc. It is better to analyze not only the financial results of the company and the turnover of the enterprise in the reporting period, but also the results expressed in changes in the balance of finances in the period and in their structure.

Can be carried out cash flow analysis in two ways: direct and indirect.

1. The direct method involves the analysis of the arrival of funds in the turnover of the enterprise (sales proceeds, etc.) and expenses (payment of invoices to suppliers, repayment of loans, etc.) of finance. In fact, the information base for the analysis of financial movements is revenue.
2. In an indirect way, operations related to the movement of money masses and the gradual calculation of profits are identified and taken into account.

In a direct way, analyze the results of operations (financial turnover of the enterprise) for a certain period. These operations can be grouped according to three types of activities:

• operating - these are sales, advances, payment for services of suppliers, conclusion of quick credit agreements and loans, salary payments, settlements with the budget, interest paid / received on loans and borrowings;
• investments - the cash flow of an enterprise associated with the purchase or sale of assets;
• activities in the financial sector - long-term loans and borrowings, various types of financial investments, closing debts for loans received earlier, dividends.

Source of information for analysis- this is form No. 1 "Balance sheet of the enterprise" and form No. 4 "Cash flow statement". They can be summarized in the following formula:

d 0 + ▲ + d –▲ – d = d 1, where

d 0, d 1 - the balance of the company's finances at the beginning and end of the reporting period,

▲ + d - the amount of money received for the reporting period,

▲ - d - financial expenses.

The cash flow of the enterprise depends on various factors of the functioning of the company. Because of this, in this formula, the inflow and outflow of financial resources are presented in three component types, which reflect current, investment and financial activities.

Cash flow structure shown in these formulas:

▲ + d = ▲ tech + d + ▲ inv + d + ▲ fin + d

▲ – d = ▲ tech – d + ▲ inv – d + ▲ fin – d

▲ those + d, ▲ those - d - the inflow and outflow of finance (turnover of the enterprise) from operating activities,

▲ inv + d, ▲ inv – d - inflow and outflow of investment funds,

▲ fin + d, ▲ fin - d - the inflow and outflow of money from the financial sector.

Cash flow from current activities(▲ those + d) is expressed in revenue from the sale of goods and services, as well as advances paid by buyers (customers).

Cash flow from current activities(▲ tech – d) makes up payments for goods and services, wages, social security contributions, imprests issued to close the needs of operations, tax payments, advances from customers and other payments, advances to suppliers, payments on loans and borrowings - that is the total financial turnover of the enterprise for operational needs.

Cash flow from investing activities(▲ inv + d) is the proceeds from the sale of main goods and other property, dividends and interest on investments, receipts from bonds, stocks and other long-term securities. All this is included in the income in the investment turnover of the enterprise.

Cash flow from investing activities(▲ inv – d) involves equity participation in construction, purchase of securities and long-term cash investments, payment of dividends and interest on shares and other securities, purchase of fixed assets and assets. All this is connected with the expenditure of the investment turnover of the enterprise.

Cash flow from financing activities(▲ fin + d) implies income from short-term securities, from the sale of pre-purchased securities, from the repayment of loans, etc.

Cash flow from financing activities(▲ fin - d) is a set of purchases of short-term securities, repayment of payments, etc. Funds from financial activities also play an important role in the cash flow of an enterprise.

• Current assets of an enterprise: concept, management and analysis

5 rules for calculating the turnover of the enterprise for the year

Annual turnover means the amount of income of the company (or individual entrepreneur), that is, the total amount from the sale of the product during the year. In other words, the annual turnover of the enterprise is the gross income.

Rule 1

You need to determine the annual turnover of the enterprise of the previous periods of your company. If your company is at the beginning of its journey, use the statistics of competitors in this industry.

Rule 3

Enter the correction factor to calculate the annual turnover of the enterprise for the planned year. If you need to leave the company's turnover at the current level, in this case the coefficient will be equal to one. If you want to increase the annual turnover of the enterprise, you need to consider how factors it is possible to increase it:

• conduct a more intense advertising campaign;
• update products,
• increase prices.

Decide on this and think step by step how you will realize the growth of the company's cash turnover throughout the year.

You need to adjust the result you have achieved in previous years, taking into account the inflation rate of the planned year and with the adjustment factor. For example, over the past 3 years, you have managed to achieve a financial turnover of the enterprise in the amount of an average of about 3,000,000 rubles a year. You want to increase it by 15%. The desired turnover, taking into account the correction factor: 3,000,000 * 1.15 \u003d 3,450,000 rubles. Next, calculate the required amount, taking into account the expected inflation rate in the coming year, it will be 7%: 3,450,000 * 1.07 = 3,691,500 rubles. You have received the amount of the planned volume of the annual turnover of the enterprise. We multiply by the inflation factor, but do not subtract it, since the desired amount of annual turnover should be equivalent to the average annual turnover of the enterprise for the last 3 years. So, if you want to raise the company's annual turnover to 3,450,000 rubles, but do not take into account inflation of 7%, your annual turnover will total 3,208,500 rubles. And this is less than the desired result.

Rule 4

Next, you need to break the resulting amount of the annual turnover of the enterprise into months, and you will get the expected amount for each of them. Just take into account your specifics, do not divide the turnover into exactly 12 parts. Every activity has its ups and downs throughout the year. Analyze the income graph of past years and, based on their example, plan each average monthly turnover, taking into account market fluctuations. In this case, your plan will be more accurate.

Expert opinion

How to maintain the volume of turnover at the enterprise in the off-season

Mikhail Rybakov,

business consultant, Moscow

Almost every line of business has a downturn. These periods are very difficult to deal with, it is best to prepare for them in advance in order to maintain the turnover of the enterprise.

If you want to maintain a minimum level of sales during the off-season, you need to create a direction or choose products that during this period will literally be an alternative to your main product. To support the turnover of the enterprise throughout the year you segmentation. Suppose you offer people tours to Greece in the summer, Goa or European ski resorts in the winter. For spring and autumn, Egypt is better suited as tourism, there is ideal weather at this time. Many firms during the off-season reorient themselves to a different client group: for example, in the summer months there is more interaction with a retail client, in the winter - with a corporate one. This helps to maintain the turnover of the enterprise in the off-season.

If you did not have time to sell a seasonal product, there is a way out. Arrange a sale, conduct sales promotion using various marketing tools - use advertising, promotions and discounts. This will not help to significantly increase profits, but this way you can maintain the minimum financial turnover of the enterprise. In retail, for example, open a stock store and sell off leftovers.

To prepare for the off-season, you can use the analysis of previous periods. Implement new technologies, business processes. In the end, train the staff, and if necessary, hire new workers.

So, in order to maintain the cash flow of an enterprise during the off-season, it is necessary, first of all, to learn how to apply the experience of one's own (from previous periods) and competitors. Study statistics, analyze customer preferences and take appropriate action. So you will be able to prepare for the unpleasant manifestations of business in the off-season.

How to increase the overall turnover of the enterprise

This is actually a key issue for any organization. Accordingly, from the increase in the total turnover of the capital of the enterprise, profit will also grow. There is two ways to solve this problem:

• extensive;
• intensive.

In the first case, you need to use external resources - to increase the number of sellers, the amount of finance in the company's turnover, the number of customers, dealers, etc. In the second, use the company's internal reserves.

Due to what will the turnover of the enterprise increase with the same managers, the same product and a stable market situation?

1. Train managers. Training will allow you to increase conversion at all stages of the sales funnel.
2. Offer your customers special conditions: promotions, gifts, bonuses, etc.
3. Work on motivation.
4. Use new, primarily intangible resources.
5. Accounting, planning, control to help you.

• Sales staff motivation: an algorithm that increases sales by up to 40%

How to increase the turnover of enterprises: 8 tricky ways

1. What to do if there is no money for gifts for clients.

Congratulate, for example, partners in the agricultural sector on the New Year not on the eve of January, like everyone else (your gift will still be lost in the mass with others), but on March 1, when the agricultural year begins. In other areas, congratulate clients on the start of the financial year - many firms start it in the spring.

2. How to inspire employees to carry out the plan.

Unfortunately, many companies do not disclose the results of the company's activities to their employees. Of course, it is definitely not worth giving all the data, however, in order to increase the turnover of the enterprise, it is necessary to convey information to employees in a generalized way: "The plan was completed by 85%." It is better to do it visually and somehow unusual. Buy, say, a large glass vase and fill it with tennis balls as you go along with the plan. So your employees will always see that sales are increasing, and they will have more motivation, and you will have an increase in the financial turnover of the enterprise.

3. How to increase the check amount.

An example from practice. In the door and flooring store, the “average check” had to be increased. Notebooks were hung on the consultants' chests. When the buyer came in, the seller asked: “What is your name? What would you like? - and entered this data in a notebook, after which he said: "I'll show you where to find it." This simple innovation made it possible to increase the average check amount by 13%, which increased the overall turnover of the company. Another example is from a telecommunications sales firm. There, in front of each manager, was a sticker that read, “Sell, damn it! Sell ​​mobile Internet! Interestingly, sales increased by 5% for this company.

4. If your commercial offer is not read.

There are rational people and there are emotional people. The former better understand the language of numbers, the latter - pictures. For this reason, your commercial offer must be made for each type separately. The most interesting thing is that the same person, out of simple curiosity, will definitely want to open both in order to compare them. That is, he will read the commercial offer in any case. To increase the turnover of the enterprise, if your commercial offer is not read, you can recommend comparing it with the offers of competitors. It will be useful to put all the competitors' CPs on the floor, and then stand on a chair and look at it all from above - is your flyer visible or does it need to be redone?

5. How to get ahead of the competition.

Instruct your employees to study the portals of your competitors, their advertising moves, commercial offers - let, say, on Fridays they report to you about what has changed over the week. You can install a magnetic board in the office so that any employee, having learned something new about a competitor, attaches information to the board. If your employees know what is going on with your opponents, you will quickly take the necessary actions and be able to increase the turnover of the enterprise.

6. If employees don't come up with ideas.

Give key employees a book - let them read for a month. After that, each worker should write down all the interesting ideas that he read, as well as his ideas about what can be implemented in order to increase the turnover of the enterprise. There is another way to get employees to bombard you with ideas. Use the famous brainstorming, only in a destructive way. Gather your workers and ask them, "What do we have to do to fail this project?" or: "What can be done to reduce the turnover of the enterprise three times?". This rather playful presentation will give people courage and creativity, and you will be given a lot of ideas. And you will mark them later for yourself with a plus sign.

7. How to increase revenue.

Offer the client three possible price options. Let's say your product is coffee. When you offer people two options - Grande for 79 rubles. and Tall Grande for 119 rubles, most likely, both types will be bought up about the same. However, when you offer Super Grande coffee for 149 rubles as a third option, only 15% will prefer Grande, and 85% will buy Tall Grande. An alternative with a third option is created so that customers choose the second one. But at the store it is worth placing an attention-grabbing sign with the words: “Cappuccino Grande for only 79 rubles.” This is a great way to increase the turnover of the enterprise.

8. How to get as many people as possible to sell your product.

First, make a set of business cards for each employee, including the courier. And let the sales manager have a business card with the inscription: "Lead Key Account Manager." Secondly, give a small souvenir to everyone, even to those who come to you for an interview. This is done, for example, by Google Corporation - they give each candidate a flash drive, a pen and a notebook at the interview. Thus, you can ensure the effect of word of mouth, which will ultimately increase the turnover of the enterprise.

• Carrying out promotions: how to increase brand and product awareness

How to constantly increase the turnover of the enterprise even after stagnation

Most commercial directors say that when the company's turnover grows over $2-5 million a year, their sales growth slows down and controllability decreases. When a business grows but stops growing, the previous controls no longer function. What should be done to overcome stagnation so that the company successfully grows and develops?

When implementing a new growth and development strategy, you need to clearly define which product, in which markets and to whom you will sell, what is the desired turnover of the enterprise - such an analysis will allow you to fully see the scale of the organization. Actually, this way you can predict the future of your company. It often happens that the current situation in the company is far from desirable. If you have a gap between reality and your goals, you need to carry out serious transformations, introduce new technologies - only comprehensive measures will give the necessary increase in the company's turnover. They should be based on the company's positioning and goal setting.

Definition of target market segments and positioning of the company. Having found your target client and a niche in the market, you need to start implementing the appropriate technologies, product, quality, logistics, service. Once you clearly segment your audience, you will be able to properly position your organization, bringing it to the needs of the client. In addition, this will lay a solid foundation for long-term and stable sales growth, which will no longer be random, but will become manageable, which will certainly ensure a good financial return for the company.

When a market niche has not yet been selected, and a positioning strategy has not yet been developed, start it sooner, and you will not need to recover from stagnation, you will be able to overtake it, and the company's turnover will not even have time to decrease.

Goal setting. Why is goal setting necessary? This provides opportunities for the formation of the company's policy in various directions. Personnel, production, financial, assortment and price - all of them should be based on your goals. If you have them clearly defined, this will motivate you to act and help you calculate in advance various situations and the financial turnover of the enterprise. Commercial goal setting consists of a triad: market-client, financial-economic and commodity-supply goals.

Market-client a group of goals is primary in a successful and promising business. According to its goals, the organization analyzes what market share and for how long it wants to have, what turnover of the enterprise is necessary for this, and how many percent of its customers the company wants to make its permanent adherents. There are many aspects here: the quality of the structure and dynamics of the development of the client base, the level of influence, service and customer satisfaction.

Financial and economic the target group includes sales volume (realized margin, margin), profitability, work with receivables, costs, company turnover, labor productivity indicators, etc.

Commodity supply the group of goals includes assortment structure and inventory planning, optimized selection of suppliers and interaction with them, logistics processes, etc. These goals also affect the turnover of the company's capital.

Sales Modeling is the next obligatory aspect of the company's turnover growth strategy through its development. Its main goals are the elimination of the random factor in the sales department, greater sales productivity, and the creation of sales management levers. If you are modeling sales, then the tasks that you set for the department will be implemented. A well-thought-out model removes all kinds of contradictory actions in positioning, assortment and logistics. As a result, the company's turnover increases significantly. As an example, consider two sales models in companies that sell medicines in bulk. In one company, products are delivered to pharmacy chains once every two weeks - this model is designed for the purchase of goods in large quantities, respectively, stocks in the warehouse are calculated, demand is predicted, and bonuses are distributed. The company's turnover is quite stable. In another company, products are delivered four times in one day, they can bring one package of aspirin. Here, too, there is an advantage: the customer does not need any miscalculations and forecasts. Each of these models is effective, but their functionality is different, as are the market segments. The difference is not only in delivery, each of the two wholesale companies positions itself completely differently.

The process of sales modeling is associated with the entire development strategy of the company and is built in any organization in its own way, depending on the goals, cash flow of the enterprise, etc. One company can even use several models at a time. To implement this, you need to segment the market and cover the needs of each of these segments separately, organizing specifically targeted sales technologies and outlining step-by-step interaction with customers.

Expert opinion

Increasing the turnover of the company through development through the identification of target niches and rational goal setting

Garnik Kocharyan,

partner and manager of the company "Zarplata-Optim"

My partner's company (a regional distributor of the b2b segment) worked very productively, while being in the entrepreneurial stage. The company has several managers. Most of all, they worked with corporations, and the goods were shipped to customers directly from manufacturers. But by a certain point, customers began to centralize supplies and make part of their purchases in the capital. It was obvious that in the near future the segment of interaction with large corporations for this supplier would be closed. At this moment, the transition to the development of new niches for cooperation with small and medium-sized businesses was decided.

Of course, working for corporate customers and supporting small and medium-sized businesses has a huge difference. These are completely different turnovers of enterprises, different approaches to the formation of sales models, a different assortment and pricing policy, and logistics. We began to form a new client base, and the profitable part of interaction with corporate clients is to be intensively invested in small and medium-sized wholesale. We did a great job: the market was analyzed, competitors were evaluated, new tasks were set for the company.

All these changes led to significant development of the company. A year later, the company's office, which until then was located in one room, occupied the entire floor of a large business center. Today, the sales department alone employs more than 30 managers, has a strong information system, systematized pre-sales preparation and delivery of goods, and equipped warehouses. Thanks to the “growth through development” approach, the company has mastered new segments of the sales market, and it has managed to occupy a significant share of it.

Information about experts

Garnik Kocharyan, Managing Partner, Zarplata-Optim. Zarplata-Optim is a consulting bureau founded in 2003. Specializes in the design and implementation of personnel remuneration systems. Official website - www.zarplata-optim.ru.

Mikhail Rybakov, business consultant, - certified project management specialist (CPMS, IPMA). Official site - www.mrybakov.ru.

author Oleg Ivanov asked a question in Accounting, Audit, Taxes

Answer from Dean[guru]
All turnovers for the year, you can see only in analytics. That is, in the general ledger for accounting. accounts. For example, to view revenue, you need to open an account. 90.1 - it is reflected in the Kt of this account. To see the fact. seb-th, then see sc. or 20-t, or a fact. seb-t sold products Dr. 90.2.
In the report f No. 2 "Profit and Loss" you can see the total amount for the year - the first line is revenue, the second is self, etc.
In the balance sheet, you will only see a line at the end and at the beginning of the year according to the account. 84-Retained earnings.

Answer from Yörgey[guru]
You will not see shipments, revenues or, as you put it, turnovers in the balance sheet. In the latter, only balances on a certain date. Turnovers, see form 2 "Profit and Loss Statement" in the first line.

Answer from Nadezhda Fakhrutdinova[guru]
You will see the company's turnover for the year only in the annual reports. That is, the balance as of December 31, but you will not see the turnover there. Information on turnover for the year in the Profit and Loss Statement (Form 2) for the period from January 01 to December 31. , That. - as of March 31, this is the reporting for the 1st quarter. The first line "Revenue" is the volume of sales, that is, the proceeds from the sale of goods, services, manufactured products. And. It doesn't matter if you actually received money for them or not. Please note that this figure does not include VAT. the rest is similar. The cost price is the same volume, only not at the selling price, but at the purchase price, if these are goods, or at your costs (cost) - if these are products or work performed. The last line in the first section of the report is profit or loss from sales. i.e. the difference - between the selling price and own.

Answer from 3 answers[guru]

Hey! Here is a selection of topics with answers to your question: Where can I read the company's annual turnover in the balance sheet? explain, the balance is needed on March 31, as I understand it?

When starting a business, most organizations expect to generate income in a short time from the sale of goods or services offered. It often happens that people involved in the management and distribution of funds do not take into account that in order to obtain free funds, a good turnover of goods and services is necessary in a short period.

What are companies?

For a well-coordinated, income-generating work, the company requires cash investments. Payments for goods, services and used assets can be made both in cash and non-cash. The term "company's cash flow" means the totality of all methods of making a profit: payments for goods, settlements on credit obligations, as well as payments to employees and shareholders.

Occurs with the use of available money.

It is carried out with the help of the turnover of non-cash funds at the request of the recipient from the payer's account for the presentation of a negotiable document.

Types of cash turnover

The company's turnover is a set of processes necessary to increase turnover. To do this, various methods of interaction can be used to pay for the goods, services or materials received:

• Cash and settlement turnover (used in the interaction of legal entities and individuals to pay bills for received goods, services with non-commodity obligations).
• Monetary turnover (applicable for the provision of services or goods on credit).
• Monetary and financial turnover (characteristic of material relations between the customer and the contractor).

Who can become a participant in the cash flow?

The company's turnover is the interaction between organizations participating in the turnover. These are cash flows between legal entities, banking institutions, banks and legal entities or individuals, between individuals.

Most often, such interactions occur by bank transfer between the accounts of the customer and the contractor.

Thus, the cash turnover of the company is the totality of all receipts for the produced and also deductions for the consumed electricity, rent of premises, purchase of raw materials, for settlement with shareholders.

Accounting records the receipts and costs of production for the entire time the company has been operating. Based on this, all the material values ​​of the enterprise can be divided into active and passive assets, which play a significant role in the company's turnover. This is proven by the fact that the younger the company, the less it will have inactive assets.

What are enterprise assets?

They are formed as a result of the work of the company and are divided into:

• Active (money in constant circulation used to purchase raw materials, pay for current payments).
• Inactive (do not carry a material burden and cannot be useful if necessary to improve the financial condition of the company).

If active assets appear through production, sale, receipt of payments on debts, prepayment by the customer, as well as obtaining interest rates on long-term investments, then inactive funds most often already exist on the balance sheet of the company at the beginning of its production activities.

Most of the inactive assets that employees see every day are working buildings, equipment, any intellectual property that is not used in the production process, but which appears in the course of legal activity (client base, reputation, partnerships, etc.)

What affects cash flow?

The company's turnover is a set of assets and material resources that are in circulation in a certain period. Every organization should monitor the need for working capital, as it plays a significant role in optimizing work and production costs.

The company is gaining momentum and increasing the margin ratio, that is, the amount of net proceeds remaining after payment of all debt obligations, payments. But we can not say that - an accurate indicator of the well-being of the company.

The margin ratio can only show the amount of net profit that the organization can spend on its needs in the current month. Accordingly, a company that increases this indicator with high turnover has a short turnover period for goods (goods-buyer-money), as well as a stock of raw materials that is always in circulation.

Thanks to miscalculations, an experienced economist can accurately say whether the turnover of the company is sufficient and whether the company is liquid. Namely, how fast is the circulation of active funds and materials, and whether the company will be able to repay existing obligations to creditors and stay with net earnings.

One of the indicators that characterizes the dynamics of the company's sales is turnover. It is calculated in selling prices. Analysis of the turnover gives an assessment of the qualitative and quantitative indicators of work in the current period. The validity of calculations for future periods depends on the conclusions made. Let's take a closer look at trade.

inventory turnover

Everything that is in the warehouse is a current asset of the organization. This is frozen cash. In order to understand how long it will take to convert goods into cash, an inventory turnover analysis is carried out.

The presence of commodity balances on the one hand is an advantage. But even when they accumulate, sales decline, the organization still has to pay taxes on inventory. In such cases, we speak of low turnover. At the same time, the high speed of selling goods is not always a big advantage. With an increase in turnover, there is a risk that the client will not find the right product and turn to another seller. To find the golden mean, you need to be able to analyze and plan inventory turnover.

Terms

A commodity is something that is bought and sold. This category also includes services if their cost is paid by the buyer (packaging, delivery, payment for communication services, etc.).

Inventory is a list of goods available for sale. For retailers and wholesalers, inventory is the items on the shelves and those that are in stock, shipped and stored.

The term "inventory" also includes products that are still in transit, in stock or on receivables. In the latter case, ownership remains with the seller until the goods are paid for. Theoretically, he can ship it to his warehouse. When calculating the turnover, only those products that are in stock are taken into account.

Turnover is the volume of sales in monetary terms, calculated for a certain period. Next, the algorithm by which the turnover is calculated, the calculation formula will be described.

Example 1

Average inventory:

Tz cf = 278778 \ (6-1) = 55755.6 thousand rubles.

Osr" \u003d (Balances at the beginning + Balances at the end) / 2 \u003d (45880 + 39110) / 2 \u003d 42495 thousand rubles.

Turnover and how to calculate it

The firm's liquidity ratio depends on the rate of conversion of funds invested in stocks into cash. To determine the liquidity of stocks, the turnover ratio is used. It is calculated according to different parameters (cost, quantity), periods (month, year), for one product or an entire category.

There are several types of turnover:

• the turnover of each product in any quantitative indicators (pieces, by volume, weight, etc.);
• turnover of goods by value;
• the turnover of the entire stock in quantitative terms;
• turnover of the entire inventory at cost.

In practice, the following formulas are most often used to determine the efficiency of using reserves:

1) The classic formula for calculating turnover:

T \u003d (Remaining inventory at the beginning of the period) / (Sales volume for the month)

2) Average turnover (calculation formula for the year, quarter, half year) :

Тз ср = (ТЗ1+…+T3n) / (n-1)

3) Turnover period:

OB days = (Average turnover * Number of days in the period) / Sales volume for the period

This indicator calculates the number of days it takes to sell inventory.

4) Turnover in times:

About p \u003d Number of days / About days \u003d Sales volume for the period / Average turnover

This coefficient shows how many turnovers the product makes during the period under review.

The higher the turnover, the more efficient the activity of the organization, the less the need for capital, and the more stable the position of the enterprise.

5) Stock level:

Uz \u003d (Commodity stock at the end of the period * Number of days) / Turnover for the period

The level of stocks characterizes the security of the company with goods on a certain date. It shows how many days of trading the organization will have enough inventory.

Peculiarities

The formula for calculating turnover and other indicators presented above is used subject to the following conditions:

• If the organization does not have stocks, then it makes no sense to calculate the turnover.
• Retail turnover, the calculation formula for which will be presented below, may be incorrectly determined if it includes targeted deliveries of goods. For example, a company won a tender to supply materials to a shopping center. Under this order, a large batch of sanitary ware was delivered. These items should not be included in the turnover calculation.
• The calculation takes into account the live stock, that is, the goods that arrived at the warehouse were sold, and those for which there are balances, but there was no movement.
• The turnover of goods is calculated only at purchase prices.

Example 2

Conditions for calculations are presented in the table.

Month	Implemented, pcs.	Remaining, pcs.
Average stock

Determine the turnaround time in days. In the analyzed period 180 days. During this time, 1701 goods were sold, and the average monthly balance was 328 pieces:

OBday \u003d (328 * 180) / 1701 \u003d 34.71 days

That is, from the moment the warehouse is delivered to its sale, an average of 35 days passes.

Let's calculate the turnover in times:

ABOUT times \u003d 180 / 34.71 \u003d 1701 / 328 \u003d 5.19 times.

For six months, the stock of goods turns around 5 times on average.

Let's determine the stock level:

Uz \u003d (243 * 180) / 1701 \u003d 25.71.

The organization's existing inventory will last for 26 days of operation.

purpose

Inventory turnover is analyzed to find positions where the commodity-money-commodity cycle rate is very low and make a decision accordingly. It makes no sense to analyze goods of different categories in this way. For example, in a grocery store, a bottle of cognac may be sold at a faster rate than a loaf. But this does not mean that bread should be excluded from the assortment of goods. It is not necessary to simply analyze these two categories in this way.

Compare the following products within the same category: bread with other bakery products, and cognac with high-end alcoholic beverages. Only in this case it is possible to draw conclusions about the intensity of turnover of a particular product.

An analysis of sales dynamics in comparison with previous periods will allow us to conclude that demand has changed. If during the analyzed period the turnover ratio has decreased, then there is an overstocking of the warehouse. If the indicator is growing and, moreover, at a rapid pace, then we are talking about working “from the wheels”. Under conditions, inventory may be zero. In this case, inventory turnover can be calculated in hours.

If the warehouse has accumulated seasonal goods for which there is low demand, then it will be difficult to achieve turnover. You will have to buy a wide range of rare goods, which will affect their liquidity. Therefore, all calculations will be incorrect.

It is also important to analyze the terms of delivery. If an organization purchases at its own expense, then the calculation of turnover will be indicative. If goods are bought on credit, then low turnover is not critical for the company. The main thing is that the period for the return of funds does not exceed the calculated value of the coefficient.

Types of trade

Just as prices are divided into retail and wholesale prices, commodity circulation is divided into similar two types. In the first case, we are talking about the sale of goods for cash or at standard prices, and in the second - about the sale by bank transfer or at wholesale prices.

Methods

In practice, the following methods of calculating turnover are used:

• Based on the consumption of goods by residents of one area.
• According to the planned number of sales and the average unit cost.
• According to the actual turnover of the organization (the most popular method).

Data for calculations are taken from accounting and statistical reporting.

Dynamics

The following formula for calculating turnover shows the change in the indicator at current prices:

D \u003d (The fact of the turnover of the current year / The fact of the turnover of the last year) * 100%.

The dynamics of trade turnover in comparable prices is determined by the following formula:

D sop = (Fact of turnover in comparable prices / Fact of turnover of the last year) * 100%.

Example 3

Trade turnover in 2015 - 2.6 million rubles.
- Sales forecast for 2016 - 2.9 million rubles.
- Trade turnover in 2016 - 3 million rubles.

Let's define sales: (3/2.8)*100 = 107%.
- Let's calculate the turnover in current prices: (3/2.6)*100 = 115%.

Price index

If prices have changed during the study period, then you first need to calculate their index. The value of this indicator increases under the influence of inflationary processes on the country's economy. The coefficient shows the change in the cost of a certain number of goods over a period. Formula for calculating the price index:

Itz. = C new / C old

This formula is often used by statistical authorities to analyze for certain categories of goods. For example, the volume of goods sold in 2014 was 100 thousand rubles, and in 2016 - 115 thousand rubles. Calculate the price index:

Itz = 115/100 = 1.15, that is, prices increased by 15% over the year.

Only after these actions is used the formula for calculating the turnover in comparable prices:

Fact = (Turnover at current prices / Turnover of last year) * 100%.

Example 4

In 2015, the turnover of the company amounted to 20 million rubles, and in 2016 - 24 million rubles. During the reporting period, prices increased by 40%. It is necessary to calculate the turnover according to the formulas presented earlier.

Let us determine the wholesale turnover at current prices. Calculation formula:

Тт = 24/20 * 100 = 120% - for the current year, the turnover has grown by 20%.

Let's calculate the price index: 140%/100% = 1.4.

Let's define the turnover in comparable prices: 24/1.4 = 17 million rubles.

The formula for calculating turnover in dynamics: 17/20*100 = 85%.

The calculation of the dynamics showed that the growth occurred only due to an increase in prices. If they had not changed, the trade turnover would have decreased by 17 million rubles. (by 15%). That is, there is an increase in prices, not the number of goods sold.

Example 5

The initial data for completing the task are presented in the table below.

		Forecast, thousand rubles	Fact. turnover, thousand rubles

Now you need to determine the turnover for the current year at the prices of the previous period.

First, let's determine the percentage of fulfillment of the sales plan: 5480/5300*100 = 103.4%.

Now we need to determine the dynamics of trade turnover as a percentage compared to 2015: 5480/4650*100 = 120%.

	Trade turnover for 2015, thousand rubles
		Forecast, thousand rubles	Fact. turnover, thousand rubles	Performance, %	In relation to the previous year, %

As a result of overfulfillment of the sales plan in 2016, the company sold products worth 180 thousand rubles. more. During the year, the volume of sales increased by 920 thousand rubles.

A detailed calculation of retail turnover by quarters makes it possible to determine the uniformity of sales, to identify the degree of satisfaction of demand. Additionally, it is also worth analyzing sales by months to identify signs of a decline in demand.

The formula for calculating turnover in retail trade

The analysis of price changes by commodity groups provides for the quantitative and cost assessment of individual goods, the determination of the dynamics of their shifts. The results of the study are used to study the correspondence of supply to demand and influence the formation of orders.

The analysis of turnover is carried out on a quarterly basis. Based on the results of the audit, it is possible to establish the reasons why the turnover has changed. The formula for calculating the balance sheet is given below:

Zn + Nt + Pr \u003d R + C + B + U + Zk, where
Zn (k) - stocks at the beginning (end) of the planning period;
Нт - commodity allowance;
Pr - arrival of goods;
P - sale of goods by separate groups;
B - disposal of goods;
B - natural decline;
U - markdown.

You can determine the degree of influence of balance sheet indicators by calculating the difference between planned and actual indicators, or using the chain substitution method. At the next stage, the retail turnover, the calculation formula of which was presented above, is analyzed for changes as a result of improved labor productivity, an increase in the number of employees and the efficiency of the use of fixed assets. The analysis is completed by determining the prospects for growth in sales volume and changing the structure of goods.

The company's turnover is not an unambiguous term, since it includes many sub-items. It can be kept in one form or another of monetary calculations, considered for the company as a whole or for a particular area of ​​work. The period for which the data is analyzed also matters. Most often, economists are interested in the annual turnover of the company, the twelve-month distance is considered optimal for assessing the state of affairs in the business structure.

A huge impact on modern accounting and reporting in general is exerted by varieties of annual turnover, made in cash and non-cash form.

Total turnover in cash

It should include all payments in cash, for example, payments by companies of funds to their employees. In addition to wages, the form includes the transfer of scholarships, pensions, cash assistance, subsidies, and receipts from financial systems. Cash is widely used in the purchase and sale of goods and services.

How is cash issued? The system provides for the transfer of funds from the settlement account of the organization using checks, they indicate the amount and purpose. The total turnover can be calculated even for one day, if the funds received by the cash system of the organization are transferred every day to the bank serving the enterprise. Surely, you have come across situations when organizations leave cash at their cash desks.

Such actions are allowed, but only within the limit set by the bank. This limit is precisely set depending on the turnover and the specifics of the company's work - it is necessary to answer the question, how much money should be left in the cash register in order to ensure uninterrupted operation, customer service and users?

Turnover of a business company in non-cash form

The turnover of the company is not only cash, these days, it is rather predominantly non-cash payments. Such transfers go directly from one account to another and have a number of advantages over cash payments through cash desks described above. Companies do not need to take additional measures to implement the regulatory function of state supervisory bodies, they reduce social costs.

It is known that the improvement of the economic condition of a certain company is understood as the acceleration of the overall turnover, which is achieved mainly through a non-cash form. How should non-cash payments be organized? It is important to fulfill them in a timely manner, to ensure that the non-cash turnover of the company is under the constant control of responsible persons, and to prevent unauthorized movement of funds.

How to calculate the annual turnover of a company?

What does turnover mean, we figured it out, now it's the turn of the answer to the question, how can financial turnover be calculated? This work falls on the analysts-accountants of the enterprise, the amount of credit turnover and accounts is used. It allows you to effectively assess the volume of cash flows in operations, investments and commercial activities.

As mentioned above, the financial turnover of the company is called the totality of cash flows, all cash transactions, both cash and non-cash. However, it is recommended to carry out calculations separately for each model described above, even a primary analysis will make it possible to understand how effective non-cash or cash turnover turned out to be.

It is necessary to know the turnover then, in order to assess the financial changes in the enterprise, it is compared with the indicators recorded at the beginning of the reporting period and analyzed. The movement of cash flow allows you to see the difference between the amount of cash flow in the past year and the funds received during the year. Turnover per year is a global parameter, it is used to conduct strategic analytical studies.

How to calculate turnover?

The analysis is carried out in two ways, direct and indirect.

• Direct way. Based on revenue, the economist focuses on how much money was poured into the company's turnover, and analyzes expenses (payment of supplier invoices, loan repayments). Money movements are not taken into account.
• Indirect way. Allows you to focus on the operations that were associated with the movement of money. Profit is calculated as it is received.

The direct method is good for determining the final operations, the financial turnover of the enterprise for a certain period. The analysis includes both operating procedures and investments and, in general, activities in the financial sector. If long-term loans were taken, they must be included in the calculation. However, the repayment of debts on previously received loans also affects the overall picture of turnover when using the first method. The main information base during the calculation is the documents “Statement of cash flows” and “Balance sheet of the enterprise”.

Five rules for calculating turnover

• Use the statistics of competitors. If the company has been operating for the first year and there is simply nothing to compare with, it is recommended to use competitor reports to determine the approximate level.
• Study inflation. A competent economist will always compare the calculation of money turnover with inflation indicators, with how much the currency has depreciated or strengthened in the market.
• Correction factor. When making calculations for the future, use the correction factor. Suppose you plan to achieve growth in annual turnover, then the coefficient should be above zero. Together with it, it is important to determine the ways that can be used to increase the level of turnover. Among the most common, we will name such - a rich advertising campaign, updating the range of goods, increasing the price of products.
• Take into account the ups and downs. Each trading year includes periods of peak activity and periods of decline. They can be both general, for example, a decline in activity during the holidays, and profile - an increase in purchasing power on the eve of the start of the school year. The expected turnover of the company cannot be correctly calculated by simply spreading the profit over twelve months and not analyzing the realistically possible indicators for everyone.

To find out the value of the annual turnover of revenue, it is necessary to process a large amount of information, include non-cash and cash transactions for all operations in the calculation. In other words, absolutely all operations that affected the balance should be in the field of view. The work of economists is carried out globally, but the results also make it possible to objectively assess the success of the company's activities during the reporting period.

> Counterparties cannot hide: how to find out the company's revenue by TIN and on the Internet?

On the Internet On paper

Why might this be necessary?

The purposes for which this information may be needed may differ depending on the category of persons requesting it.

So, let's take a closer look at what information about the company's revenue is needed for:

How to check the organization's earnings: step by step instructions

Currently, there are several ways to obtain information about the company's revenue figure. You can get information directly from the accounting department of the company or find out the necessary data on the Internet. So let's take a closer look at both methods.

In the Internet

In the age of technology, there are more and more opportunities to obtain information of interest regarding any counterparty in a short period of time.

So, today there are many information sites where the financial statements of various business entities are published for wide use (For example, spark-interfax.ru, zachestnyibiznes.ru, unirate24.ru, etc.). With the help of Internet resources, you can quickly see the revenue of any company.

So, we present the general algorithm of actions:

Important! On the site zachestnyibiznes.ru, financial statements are presented for the last 5 years of the company's activity. This allows you to identify a certain trend in the change in the company's revenue over time.

In paper form

This method is the most standard and includes the following steps:

1. We draw up and send a request for the provision of relevant documentation to the accounting department of the company of interest.
2. If the counterparty has no objections, then you will be sent the appropriate reporting form in paper form.

It is advisable to insist that the organization send you Form No. 2 with a mark from the tax office on the delivery of documents, since there is always a risk that the counterparty may provide you with reports in an "embellished" form.

Summing up, it should be noted that at present, almost any counterparty, without much effort, has the opportunity to find out in a short time the amount of revenue of a particular organization received for a certain period of time.

At the same time, the traditional paper version of data presentation is increasingly fading into the background, since any information can be obtained in a few minutes via the Internet.

When opening their own business, each entrepreneur opens a current account in a bank ─ how to calculate the average monthly turnover on a current account, what it is formed from, it will become clear when you understand why a bank account is opened. It is needed for financial transactions: cash withdrawals, receiving payments for services performed or goods sold.

What is the average monthly turnover

The cash flow of a small business or individual entrepreneur is the main indicator that determines the return on investment over a certain time interval. How to calculate the average monthly turnover on a current account will become clear when an entrepreneur understands what indicators affect him. Any production process needs working capital, which is then included in the cost of production.

Entrepreneurial activity always involves the use of working capital, these are:

• inventories of finished products;
• unfinished construction;
• the number of shipped products;
• cash;
• financial condition of the account.

Every day, working capital can go through the stages of their application, namely:

1. The financial stage, when money is directed to the purchase of materials, fuels and lubricants, raw materials for products, and other business needs.
2. The stage of production activity, this previously harvested raw material is converted into products for trade.
3. The stage of commercial use is characterized by the receipt of financial resources from the finished product.

The average monthly turnover of entrepreneurial activity implies a balance ─ a balance between the assets and liabilities of the entrepreneur. It is necessary to consider the turnover on income transactions (debit) and expenditure transactions (credit) for a selected period of time, namely:

• debit turnover ─ receipt of money from buyers, clients for services rendered to the current account of the entrepreneur;
• credit turnover ─ the entrepreneur's expenses for the needs of his own production: tax deductions, wages of employees, payment to suppliers for raw materials.

A novice entrepreneur always understands all the definitions until he comes across a bank statement, where for some reason tax deductions are debited, and investments are credited, and even a negative balance on the current account.

It is necessary to understand that the statement submitted by the bank is its document, and not yours. When a bank accepts funds from a client for use, it becomes a debtor to him and the receipt of funds to your current account only increases his debt (bank credit), and debiting money from your account for other operations reduces this debt (bank debit).

How debit and credit turnover is applied

• the entrepreneur’s debit is indicated on the left side of the current account;
• the right side of the account is reserved for credit turnover.

Depending on what operation the entrepreneur carries out, this is accordingly reflected in one or the other side of his account. The balance (difference between income and expenditure) on the account is also divided by type, it is:

1. active result;
2. passive result;
3. active-passive balance.

When there is an increase in value in the account in debit turnovers, this indicates the property expansion of the enterprise or an increase in sales from trade, respectively, a decrease in these parameters characterizes the entrepreneur's credit.

It must be understood that passive accounts are necessary only to show how the entrepreneur receives money, due to what actions this happens.

The debit and credit balance is usually carried out by the small business accounting department once a year, or quarterly, when the balance for the reporting period is displayed. When the balance is zero ─ the debit column equals the credit column, the account is reset to zero.

How to calculate the average monthly turnover

How to calculate the average monthly turnover on a current account, and for what purposes it is necessary, and also when it is recommended to calculate the turnover of a small business, this will become clear when an entrepreneur analyzes the stages of the flow of funds through his own business.

Experts argue that when the speed of movement of funds through the stages of production is high, and working capital circulates quickly, then the profit of entrepreneurial activity is growing rapidly. Consider how to correctly calculate the average monthly turnover, this is:

1. You need to calculate how your assets turn around, as well as how long it takes for one turn. To do this, you need to divide the profit received by the average monthly value of the entrepreneur's asset. This is reflected in the formula: K (turnover) = average monthly profit / asset value. The result shows how many turnovers the invested assets pay off, if the indicator increases with each calculation, this means an increase in the company's sales activity.
2. The duration of one revolution can be determined by dividing the time interval of your choice by K (revolutions). Here, a decrease in value would be a good indicator, which indicates a shorter payback time.
3. It is also necessary to calculate the coefficient that shows the fixedness of active funds, for this it is necessary to divide the average parameter of the assets involved in the turnover by the profit received for the analyzed time interval. This coefficient shows the entrepreneur how much working capital it took to get one ruble of profit.
4. It is also necessary to calculate the operating cycle, which is equal to the sum: how long raw materials and materials are in circulation, how long products are sold, how much unfinished products are left for the study period, and what is the debt to the entrepreneur from counterparties. By regularly conducting this calculation, an entrepreneur can track the moment when an increase in the indicator will show the beginning of a decrease in the business activity of their own production. In the same period, the company's funds will turn around more slowly.
5. We determine the duration of the financial cycle. To obtain this indicator, it is necessary to subtract the duration of the turnover of debts not returned to the entrepreneur from the calculated operating cycle. The lower this indicator, the more successfully the businessman conducts his own business.

Can a loan be greater than a debit?

Every day, the bank conducts an operation to determine the difference between the debit and credit of the entrepreneur on his current account, the result determines:

• when the difference has a positive result, ─ says that the debit is greater than the credit;
• if the result is negative, then the credit is greater than the debit.

The usual bank agreement for servicing the current account of a person conducting entrepreneurial activities implies that:

• the client always has access to his own funds;
• the entrepreneur must use his own funds.

From the conditions described above, we can conclude that the bank does not intend to work with a negative result (balance). It turns out that when there is no money in the account, the bank simply may not fulfill any obligations to pay salaries and other instructions of the entrepreneur, which gradually forms a chain of documents and instructions in the following sequence:

1. Claims of court representatives to an entrepreneur for compensation for damage caused in the event of his activities to citizens of the Russian Federation, as well as the collection of fees for an obligation to minor children.
2. Documentation on the frequency of payment of wages, as well as all funds to dismissed employees of the enterprise, as well as people working under contracts.
3. Tax deductions.

To avoid such a situation, an entrepreneur is recommended to conclude two types of agreements with the bank ─ a service agreement and a loan agreement. On the current account of the entrepreneur, the bank sets a credit limit ─ overdraft. This is when there is no money on the entrepreneur's account, he can use bank funds for a short time to make mandatory payments.

Average monthly calculation as an indicator of the enterprise's activity

Why does an entrepreneur need to know how to calculate the average monthly turnover on a current account ─ for the correct use of working capital. This is helped by rationing in production, which means the correct distribution of the use of materials and raw materials, this will give a stable operation to the enterprise. To do this, use all the data obtained in the process of conducting the average monthly calculation of turnover.

The average monthly calculation as an indicator of the enterprise's activity is important for the tax inspectorate and potential investors.

Experts recommend using the “net turnover” indicator for conducting an analysis of the movement of funds, which is necessary for entrepreneurial activity, ─ when credit operations are separated from money received as charity.

To determine the net funds in circulation of entrepreneurial activity for a particular enterprise, such indicators are used as: the scale of the activity, as well as the need of the enterprise and the specifics of the direction of the type of activity.

Experts recommend keeping a balance of "net turnover", as excess capital or its lack affects the well-being of the business. When it is more financial institutions can talk about the misuse of resources by an entrepreneur, his inefficient activities, and when there is a lack of net capital, this shows the insolvency of a businessman in front of his obligations.

The rapid development of market relations throughout the world has caused a huge interest of the population in the knowledge and understanding of the elementary concepts of financing. Terms that were previously used only in a professional environment and specialized literature are now increasingly appearing in periodicals and flying off the language of Russians who are far from accounting.

Prudent owners still resort to a simplified version of accounting, counting all income received in one part of the sheet, and expenses incurred in the other. Thus, "debit" and "credit" are used quite often in everyday life. Determining these values ​​using simple mathematical calculations makes it possible to judge the effectiveness of the funds spent and plan ways to reduce costs in the future. This method is the most reliable on the way to financial well-being.

Grouping accounting transactions

With the help of accounts in the accounting department, diverse business transactions are systematized, taking into account the sources of their formation. The double registration method reflects the change in property ownership, the sources of its formation and all types of economic activity on corresponding (that is, interconnected) accounts. Double entry is made in the same amounts in debit and credit. The ending balance of active accounts is determined by adding the debit turnover to the opening balance and subtracting the credit turnover. In an active account, there can be no credit balance (neither final nor initial), since this means that the object taken into account is less than zero. The final balance on a passive account is determined in the same way: the initial balance plus the amount of credit turnover and minus the amount of debit. The resulting final balances on passive accounts are reflected in credit, and on active ones - in debit. Active-passive accounts display both the property of the organization and the sources of its formation. The use of a double entry, reflecting each business transaction, is due to the clear relationship of these transactions with a change in the financial condition of the enterprise, in which the interaction of two accounting objects takes place. It is this interaction that is called the economic content of a particular business transaction. Thus, displaying the debit and credit of each operation makes it possible to obtain detailed information on the dynamics of the development of the entire production as a whole and determine the priority areas for its development.

Scheme of debit and credit accounts

Depending on whether the account is kept of the organization's current or non-current assets or its source, there are several types of accounts:

1. Active.
2. Passive.
3. Active-passive.

Each of these three types of accounts has its own structure scheme. Let's consider them. If the account is active, then its opening and closing balances will be debit. Using information about what a debit is, you can deduce the value of active accounts. They are intended to reflect transactions related to property and its movement. The receipt of funds is reflected in the debit turnover, and the use - credit. Similarly, for passive accounts, both balances will be reflected in the loan. They are used to account for the sources of the appearance of property. Credit turnovers in such accounts report an increase in capital, and debit turnovers indicate its decrease. Active-passive accounts register balances and turnovers on both sides.

What are debit and credit accounts? We have already determined this earlier. It remains to take out the value of debtors (debtors of the organization) and creditors (those to whom the enterprise is indebted).

In the accounting department of any enterprise, a system of accounts is used to record financial and business transactions. Each of them is designed to reflect a separate group of transactions on the debit or credit side. Familiarity with the structure and meaning of an accounting account allows you to clarify what a debit is and its postings for an accountant. We will also consider the concept of a loan and the transactions reflected on it.

Documentation of accounting entries

What is debit and credit in a transaction? Now we need to consider this concept. As already mentioned, posting in accounting means text. It indicates the debit account and the corresponding credit account or vice versa. Postings are divided into simple, affecting only two accounts, and complex, reflecting several accounts related to the transaction.

Accounting entries are made in the form of documentation in which accounting is kept. These can be magazines - warrants or memorial warrants. Also, most often, for their visual reflection, they use balance sheets, which are of great importance for the preparation of financial statements.

Data in the statement is entered in the form of debit and credit entries. By the end of the month, the balance is displayed. In total, for the entire reporting period, these data are transferred to the balance sheet. This accounting procedure allows us to understand what debit and credit are in the balance sheet. Accordingly, thanks to the documented postings, the meaning of the active and passive side of the concept under consideration is formed.

Accounting accounts are a whole way of being able to keep records. Without them, it would be impossible to reflect financial and business transactions by subdividing them into groups. Thus, we examined what a debit in accounting is, a credit and their meaning.

Every day a person makes purchases, conducts any kind of financial activity, this is a trip by transport, paying for gas stations on a car, ─ all these are the “basics” of accounting and we should understand what a debit is, what a credit is, the latter definition is more familiar to society .

In addition, in production, any company has its own accounting department, where they use the well-known terms debit, credit, which determine the financial position of an enterprise or company. You cannot do without these concepts when compiling a balance sheet, even to get a bank card you need to understand these definitions. Let's take a closer look at these accounting terms.

What is a debit what is a credit - the history of terms

What is a debit, what is a credit to understand better, according to experts, when you “immerse yourself” in the origin of these words in more detail. The expression "debit" is a borrowed word that was previously used in German speech, but, according to historians, its roots come from the empire of Rome (Debitum), which means debt. A shorter spelling of Debet is adopted, which defines the expression "he must", a fuller meaning (property abbreviation).

There is also a similar word in English, which is defined by our translation as "duty". The European country France defines expenses with the word debit as something physical, it is used in specific definitions of the consumption of gas, oil, water, when the source gives out resources for a specific time interval, but the physical value is written a little differently, through the letter “and” ─ debit in contrast from the accounting definition of debit.

Most often, the term debit and the term credit are used in accounting when accounting for funds and finances is carried out, namely:

1. Each accounting department has a "passive", "active" and "mixed" account, these are:

• active accounts - an organization or a company, an enterprise opens (places) independently;
• passive accounts - those that use the funds raised for the activities of the organization;
• "debit", in relation to "active" and "mixed" (active-passive) accounts, determination of the receipt of additional funds;
• "credit" means the expenditure of active or active-passive accounts;
• "Debit" in a passive account ─ expenditure of funds;
• "Credit" in a passive account ─ the inflow of additional funds.

1. For a better understanding of what a debit is, it should be noted that any accounting consists of two parts, these are:

• the property part of the enterprise (debit), its left part of the accounting department;
• the growth of the organization's property, the rights to use it, are shown on the left side (debit) of the accounting report with active and active-passive accounts;
• the presence of the organization's obligations, which "cuts" in the sources of its own financing of activities, is reflected in passive accounts, in its debit part.

1. The right side of (credit) accounting is defined by specialists as:

• decrease in the property assets of the organization in the work of active or active-passive (mixed) accounts;
• an increase in the finances of the enterprise (credit) is reflected in the passive account of the right side of the accounting department.

1. Experts define the following regularities, these are:

• "active" accounts show how the organization's funds move from the credit part to the debit part of accounting;
• "passive" account reflects the movement of money of an enterprise or organization from the debit part to the credit part of accounting;
• when compiling the balance sheet, the accounting department shows the debit balances as an Asset, and the credit balances as a Liability.

Experts emphasize that the definition of "debit" and the definition of "credit" are two opposite concepts. They also have different signs, meaning, namely, this:

• when the assets of the organization are considered, the debit turnover is a positive value, it characterizes the growth of the enterprise's finances, and the credit turnover reflects their decrease;
• when considering the obligations of the organization, the company's credit turnover shows the growth of finance.

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