March 7, 2013

How to Calculate Profit Enterprises

At particular training business training, a very interesting topic of interest of participants at admission to the material profits calculation.

Seeing the enthusiasm of the participants made us come to understand that one of the attractions that make people want to open a business is profit.

Most of the participants who participated in the training do not really know how to calculate the correct gain.

Maybe you were there who do not know how. Here's a sequence in an attempt to gain calculation is simple:

The order to calculate the profit
The derivation of specific benefits

1. Calculate the cost of goods sold or the principal

How to calculate the capital cost of sales can be explained. Calculation of principal is the first thing that must be done to determine the next business profits.

2. Determine the selling price

Determine the selling price depends on the desires and market segmentation.

3. Calculate gross profit

Gross profit is a result of reduced sales calculation of principal but has not reduced operational costs.

Gross profit = sales per piece or portion - of principal

Gross profit per day = Total sales per day or month - Total modaI principal or per month

If a day on average to sell 20 pieces of burger, how much gross profit earned every day and every month?

4. Calculate the total operating costs

Business operational costs are other costs necessary for the business other than raw materials. Operational costs include:

• Cost of fuel (gas)

• Cost of labor

• Commission per fruit for power circumference (if any)

• Transportation costs

• Cost of electricity bills (if any)

• Cost of water bills (if any)

• Cost of damage to the product, or the remaining unsold.

5. Calculating net profit

The net gain is a result of the profit that is less all operating expenses.

The calculation is:

Net profit = Total gross profit per month - total operating costs per month

6. Allocation of net profit results

Net profit is absolutely the right of business owners, but it would be better if the net profit results also managed so that the business you will feel healthier. However, you own the right to determine, the greater the percentage of the consideration when investment returns, the effort will be faster return on investment. Decrease the percentage of consumer needs at the beginning of the business as a percentage for the consumer can be larger when investment returns are completed. Here are tips for allocation percentage yield net benefits of business:

1. For investment payback = 30-50%

2. For depreciation tool = 10-20%

3. For the development of = 10 -20%

4. For consumption = 10-50%

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