THE ALTERNATIVELY INCREASE PROFITABILITY BY REDUCING COSTS Cover Image

ALTERNATIVNO POVEĆANJE RENTABILNOSTI REDUKCIJOM TROŠKOVA
THE ALTERNATIVELY INCREASE PROFITABILITY BY REDUCING COSTS

Author(s): Dragan L. Vukasović, Srećko Novaković
Subject(s): Business Economy / Management, Financial Markets, Accounting - Business Administration, Socio-Economic Research
Published by: Nezavisni univerzitet Banja Luka
Keywords: reducing costs; cash flow; liquidity; profitability; costs;

Summary/Abstract: In this paper, we show how to reduce costs through efficiency principles of the economy and how they directly affect the profitability of the business. Profitability of the business is manifested as a complex concept, and as a general indicator of the general level of efficiency of the company. The final verification is done all the processes that take place in the company and confirm the efficiency, productivity and liquidity. Business of an enterprise can be perfect and economical viability without profitability, because it is estimated by the program did not adequately accommodate the market, which did not use adequate financial resources, or may not be used with appropriate capital. In ordinary conditions, business may has got all the requirements for high profitability and that incurs a loss just because the company has liquidity problems. Throught the profitability of the business we should see the effects. All these facts are synthetically express balances that are only used as a meritorious instruments for determining the level of profitability.

  • Issue Year: 2015
  • Issue No: 11
  • Page Range: 125-131
  • Page Count: 7
  • Language: Serbian
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