Profit and profitability analysis as a basis for their planning at the industrial enterprise

In a market economy, it is extremely important to find optimal approaches, tools and methods for effective planning of the most important economic indicators of an economic entity. The results of economic activity of commercial organizations in market conditions are evaluated by their profitability. The profit of an economic entity is the main goal of its functioning. The growth of this indicator in dynamics is assessed as an indicator of the stable efficient operation of the enterprise, a sign of the stability of its financial position. The increase in profits makes it possible to ensure expanded reproduction, improve the socio-economic conditions of management. It seems possible to consider the mechanism for analyzing the profit and profitability of an industrial enterprise as a basis for effective planning of these indicators. A competently formed profit plan makes it possible to correctly assess cash receipts, calculate payments to the budget and the amount of savings that remain at the disposal of the enterprise.