COEFFICIENT METHOD OF CALCULATING OF PLANNED LAND USE EFFICIENCY

Issue № 3, 2017, article № 14, pages 85-91

Section: Foreign news

Language: Russian

Original language title: КОЭФФИЦИЕНТНЫЙ МЕТОД РАСЧЕТА ПЛАНОВОЙ ЭФФЕКТИВНОСТИ ЗЕМЛЕПОЛЬЗОВАНИЯ

Keywords: PRICE, FIXED COSTS, POTENTIAL, REVENUE, CROP YIELD

Abstract: Efficiency of introduction of modern technologies of cultivation of crops depends not only on a gain of productivity, decrease in product cost and increase in prices of realization, but also on a ratio of constants and variable expenses. It is emphasized that alongside traditional metrics of efficiency of productive land use (operating and financing net revenues expressed in monetary or natural equivalent per one unit of land resources used) it is reasonable to apply a measure of the level of their realization potential which would reflect comprehensively the attained level of efficiency of land use and possible reserves of increasing agricultural production. A non-traditional method of calculating the efficiency of realized production, the key metrics of which depend on the degree of deviation of planned crop yield from the breakeven level, is suggested. During the research a number of formulas of interrelationship between the revenue per unit of area and unit of production, financial safety margin, operating leverage and the coefficient of sales profitability from the degree of deviation of crop yield from the breakeven point. The research provided will allow the specialists of agricultural enterprises - on the basis of two coefficients (for the payback of fixed and variable costs per unit and crop yield growth) - to determine the amounts of planning metrics of realized sales efficiency.

Authors: Parmakli Dmitrii Mikhailovich