BUSINESS ECONOMY: EFFICIENT USE OF FIXED ASSETS

Abstract

The basis of all production are the objects of fixed assets. When considering the structure of fixed capital, they occupy the largest share. Rational use of fixed production assets has a positive impact on profit and labor productivity. With optimal use of fixed assets there is an acceleration of their turnover. Acceleration of turnover significantly contributes to addressing the issues of reducing the gap in the timing of physical and moral wear and tear, as well as accelerating the pace of their renewal. Analysis of the efficiency of fixed assets is an important problem, because fixed assets are an essential element of the economic potential of any organization, and their analysis is necessary to improve production efficiency. Fixed assets constitute the production power of enterprises, act as an indicator of their technical equipment, directly related to the efficiency of labor resources, mechanization and automation of the production process, input intensity of production and its profitability level. In this connection, the analysis of ways of effective use of the basic means take the basic place in the work of the enterprises. The article analyzes the problem of rational use of fixed assets, as well as ways to improve the use of basic funds by the enterprise. The relevance of the theme of the article is due to the fact that fixed assets are an integral part of any business entity, without them you can not run the business. The aim of the article are recommendations for using ways to improve the efficiency of fixed assets on the basis of a comprehensive analysis of the works of domestic and foreign scientists, whose research is devoted to the study of this problem. The article presents a review of the concept of «fixed assets» by both scientists’ economists and the legal framework.