DSpace at Khazar University
DSpace at Khazar University
DSpace at Khazar University
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N v is new gener<strong>at</strong>ed value, I c is intermedi<strong>at</strong>e consumption expenditures.<br />
In liter<strong>at</strong>ure it is proposed to calcul<strong>at</strong>e effectiveness as the r<strong>at</strong>io of value of sold<br />
production to production cost (6, 262). It seems to us th<strong>at</strong> such approach doesn’t fully<br />
reflect reality.<br />
Firstly, income from the sale (value of sold production) in general may be<br />
compared not with production cost, but only with the production cost of sold output.<br />
This method may be considered correct only for marketable large producers.<br />
Secondly, under condition of modern economic rel<strong>at</strong>ion entrepreneur uses large<br />
part of produced output for various intraeconomic aims, swaps by the commodity<br />
exchange and uses for other aims. In this circumstance the r<strong>at</strong>io of the value of sold<br />
product to production cost doesn’t allow to come to a correct conclusion, effectiveness<br />
indic<strong>at</strong>or fall down and some times false result of unprofitability arises.<br />
At last if one speak about effectiveness of sold product, it is possible to agree<br />
with colleague’s proposal. But st<strong>at</strong>ement of problem is the production effectiveness.<br />
Result of production is considered effective if received against cost (intermedi<strong>at</strong>e<br />
consumption expenditure) value, new gener<strong>at</strong>ed (added) value allows fulfill finance<br />
oblig<strong>at</strong>ion and entrepreneur gain spare money balances (net disposable income). It is<br />
n<strong>at</strong>urally th<strong>at</strong> entrepreneur to fulfill production functions and oblig<strong>at</strong>ions, achieve an<br />
object, gain net profit must have modern production culture and effectively use<br />
produced output.<br />
Table 11<br />
Productivity of the new gener<strong>at</strong>ed (added) value in the production of livestock cluster<br />
by Azerbaijan regions in 2009, per 100 man<strong>at</strong> of intermedi<strong>at</strong>e consumption<br />
expediture<br />
135