Clear Returns through Production Elements

Last updated 18 June 2020
Clear Returns through Production Elements

Return on Work

All activities that a person engages in, whether it is muscle or physical efforts to take advantage of all the natural resources surrounding him, and the return from work is to satisfy the needs and desires of the individual through the production process, and the work is voluntary and not forced, and the term work is called manpower or human power or works Handicraft, however, the efforts exerted by the individual intellectually are considered work also as a doctor and engineer, and carpentry, sewing, sewing, and blacksmithing are among the most common muscular handicrafts.

Also read: What is the Definition and History of Production

  What is the Definition and History of Production?

Return on Capital

Interpreting the results of its activity by studying a set of ratios that affect the rate of return on invested capital during the year, and is also used to assess the efficiency of the company in allocating available capital under its control to profitable investments, and the return on invested capital gives a good feeling about how the company uses its money to achieve returns through Comparing the company’s capital return with the cost of capital and return on capital called interest.

Return on capital is calculated like this

Return on invested capital = (net profits – dividends) / capital

Also read: Learn the Factors of Production

Return on Land

  What is the Definition and History of Production?

Economics is a natural resource, whether it is a shallow or subterranean land, and this land does not interfere in its creation, it is a natural creature from God Almighty so that man can take advantage of it and return to man with benefits and benefits to societies, and the return on earth is called rent.

Return on Management

Among the administrative and organizational processes in any production institution and through which the manager can control all the activities of the institution and future plans and how to prepare for the production stages, and the return on management is called profit.

Also read: Profit Margin and How it is Calculated

اقراء المقالة باللغة اخرى : العربية

Was the article helpful?

Yes No
×

Sorry for that!

×

Wonderful !

889 Views
هل تنقصك معلومة في المقالة ؟ يشرفنا الرد عليك

Leave a Reply

Your email address will not be published.