Capability or resource is one of the means used to measure profitability, because the return on investment reflects the ability of investment to achieve the returns as a result of use, and the De Pont's leading used as a tool for monitoring and evaluation of performance and regaining this indicator attention in the socialist economy, in Russia (for example) after the economic reform in 1967, used the rates of return on investment as an indicator to judge the success of the business, so they can analyze the measures to be scaled continuously. Because the evaluation of performance of the enterprise is achieved by the size of the profits of be wrong because it does not take into account the size of the facility in addition to the fact that the return on investment measure of the effectiveness of the work at the facility.
Any efficient performance from one year to another, as they can from the comparison between the efficiency of the performance of a number of plants belonging to the same sector, and as a result of the foregoing is the return on investment an effective tool in judging the financial management of the facility to achieve a balance between capital property and the borrower on the one hand and between the costs and revenues of On the other hand.
Clear to us that capability or resource represents multiplying Mekdarin are:
1 - margin:
Percentage lavishes consists of net operating income and the sanctuary of net sales (after deducting the discounts granted to customers and assets of total sales). Note that Lenin adopted the principle of Cole in wages.
Ie it = Net Operating Income
Net sales
2 - Rotation:
Any number of turnover of assets and thus the numerator of net sales, while representing the assets used in operations
Any he = Net Sales
Total operating assets
Thus, the capability or resource = x turnover margin
The net operating income = x net sales
Net sales Total operating assets
التسميات
Concepts of financial management