Instruction

1

Implemented products – are the products shipped by the company from its territory and paid by the buyer. Its volume is calculated in physical or monetary terms.

2

All the necessary information for the analysis comes from standard financial statements: "the Report on profits and losses" (form № 2), "the annual Movement of goods, their shipment and implementation" (statement No. 16), the accounting data reflected in the accounts of 40 "Output

**of products**", 43 "Finished goods", 45 "Shipped products" and 90 "Sales". You can also use regular statistical reporting (e.g., form № 1-p "Report on**production**of industrial enterprises").3

The volume of sold

**production**in volume terms is calculated as the sum of all units shipped and paid for the**products**for all periods included in the reporting period. Natural indicators are pieces, kilograms, packing, tons, meters, etc.4

The volume of sold

**products**in terms of money (or value) is determined by the selling price of the goods including value added tax. The measuring units here are of rubles (dollars, euros etc). Simply put, the realized production in monetary terms is the company's revenue received from the buyer for the delivered goods.5

Also the volume of sold

**products**can be determined on the basis of commodity**production**. For commodity**products**is fully finished products has already been transferred to the buyer or stored in the warehouse. In this case, the volume of sold**production**can be calculated as the difference between the commercial products and the warehouse inventory for a specified period.6

Remember that sales is considered only products for which payment has been credited to the account of the company (or in cash). Therefore, the calculation doesn't include the products delivered to the buyer but not yet paid.

# Advice 2: How to find the volume of the products

Determination of the amount of produced or sold

**products**– one of the fundamental operations that should be able to do every economist. That is why in the economic and financial educational institutions are so common tasks in which you want to find the volume**of the products**.Instruction

1

Most often, the expression "volume

**of production**" means the amount produced or sold by an enterprise**of products**over a certain period of time. It can be expressed in quantitative and monetary terms. To find the volume**of production**in monetary terms, multiply the quantity by price per unit. The calculation becomes somewhat more complicated if the products are not homogeneous, and price, respectively, varies depending on the party. In this case find individually the volume of each batch and total the results.2

Quite often the need to calculate the amount

**of products**in so-called comparable prices. Comparable prices are the prices of a particular year or on any particular date. They can be clearly known and recorded or found through the appropriate coefficients, for example, through inflation. In the case when you want to find the volume**of production**in comparable prices, to multiply the number of produced**products**at prices of a certain year, or to adjust the volume**of production**in current prices for the required ratio.3

Also common situation when you need to find the volume

**of products**sold within a certain period, e.g., quarter, six months or year. However, as a rule, known for the remains**of goods**at the beginning and end of the period. To find the volume**of the product**within a certain period of time, to the volume of**product**produced during a given period, e.g., year, add existing remnants**of products**at the beginning of the year and subtract the remnants**of products**held in storage at the end of the year.# Advice 3: How to find volume of production

The correctness of the calculation of the volume of production provides a rational planning of any production and service supply and demand. In addition, this procedure helps objectively assess the power of an enterprise/organisation in kind and in cash.

You will need

- - financial statements.

Instruction

1

Calculate the monetary value of two amounts – the amount of finished goods at the beginning of the reporting period and at the time of its completion. To carry out this operation, borrow indicators from accounting, statistical reports maintained by the organization or enterprise to the Committee of statistics of the region where it works.

2

Find it in monetary terms, the difference between the total amount of production during the reporting period and the balance of produced goods. The result will correspond to the volume of production.

3

Find the volume of the finished products in physical units. A similar process of calculation is easy to standardize. You should put such values as the number of produced finished goods, the number of the outgoing residues, the number of sales of finished products and residues of finished products at the beginning of the reporting period.

4

Since the above calculation is relative, for more accurate and relevant value add to revenue from sales of manufactured products calculated above, the difference between total production for the reporting period and the remainder of output.

5

To obtain the most accurate indicator, index the above-mentioned result by the percentage which reflects the price changes generated during the reporting period products.

Note

From the correct calculation of volume of finished goods in monetary terms depends on the rational planning of its sales through existing distribution network, as well as the literacy of the expansion of this network.

Useful advice

Dynamics of volume of production is monitored according to the schedule of the growth/decline of the revenue of the enterprise or organization at the same time. This graph is built on the basis of the information specified in form No. 2 of financial statements. The information is taken over the two reporting years or a greater period.

# Advice 4: How to calculate the volume of sales

The volume of sold

**products**– hardly probable not the main indicator of efficiency of the enterprise. It depends on the sales forecast for the next period, and from that in turn the required output. Analysis of this indicator allows to evaluate the degree of implementation of the plan, the dynamics of growth of sales (sales) and to identify weaknesses and reserves to increase production and sales**of products**.You will need

- Financial statements

Instruction

1

The volume of sold

**products**are calculated in physical or value (monetary) terms. All information necessary for analysis can be taken from accounting or statistical reports of enterprises.2

Implemented products in real terms is how many units of parts produced in the shop, how many meters of curtains sewed garment factory or how many square meters of housing was built by a construction company. The main difficulty of calculating the volume of sold

**production**in volume terms is inhomogeneous range.3

Indeed, if the factory only produces one type

**of product**, the calculation of the volume of sold**products**is reduced to the calculation of units sold in each period. Much more difficult if the company produces the most diverse products. In this case, a calculation of the volume of sold**products**in semi-natural expression.4

The calculation of a quasi-natural expression is used for generalization of different types of manufactured

**products**. For example, a bottling plant the soda can produce mineral water, lemonade, iced tea, and each type of drinks in plastic bottles and metal cans of different volumes, etc. Then introduces a conditional indicator, for example, water bottle volume 0,5 l. All other drinks are measured in terms of the conventional bottle.5

The volume of sold

**products**can also be calculated in monetary (or monetary) terms. Of sales in value terms is the total volume**of products**shipped to customers and paid for in full.6

After calculating the volume of sold

**products**it is necessary to compare it with the planned indicators and volume produced**products**. This analysis will allow you to properly plan resource needs and production rates**of products**and predict the further pace of sales.