Current issue: 58(5)
Articles containing the keyword 'metsätalouden tulos'
Category : Article
It is impossible to survey the results and profitability of forestry a hundred years hence of measures taken today. Financial reports in forestry should be kept as separate as possible from stocktaking. Under sustained forest management it is the task of silviculture to supervise the care of growing stock. As long a sufficient money is being used for forest improvement, the situation can be considered satisfactory. To ascertain just what is sufficient, in the analysis of the costs of forestry the investigators should concentrate on establishing which costs are fixed and which are direct (marginal).
Short-time changes of capital can also best be considered by means of a cost analysis of silvicultural measures and other operations. On the other hand, classification of the cost must be correct if the operational statistics are to be of any value. The calculations become much easier if fixed costs do not need to be distributed per production unit. Therefore, there may be good reason to try out marginal costing in forest enterprises. The fixed costs are increasing steadily.
This paper aims at giving ideas in determining the profitability of a forest enterprise. A marginal costing balance sheet mainly illustrates the structure of an enterprise, which gives a general picture of its profitability. If profitability is to be expressed by comparing yield with capital, yield can be treated as interest and capitalized. None the less, this is certain to result in different capital values depending on whether we take the yield to represent 3, 4, or 5% of the capital. A marginal balance is no substitute for the long-term planning which will be needed in a forest enterprise.
The PDF includes a summary in Swedish.
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Runeberg,
E-mail:
lr@mm.unknown
The investigation studied the conditions on which business economics of large-scale forestry, mainly in the state forests, operates. It gives an overview on the economic geography of the state forestry in Finland, including the location of forest industry units and purchase of raw materials in relation to the state forests. The calculations are based on the of the financial performance of the districts of Forest Service in Finland.
The state forests are situated mainly in Northern Finland. Only 6% of the forests were situated nearer that 10 km from the nearest railroad, floating channel or business center. The size of forest districts decreases from north to south and from east to west, which affects the intensity of felling and the economic result of the districts. On the account of the remote situation of the forests of the state the amount of timber felled has been considerably below the growth of the forests.
During the period of 1924-1943 annual cut in state forests decreased in Northern Finland, stayed in the same level in the east and increased in the west. Proportion of large-sized timber of the sales decreased, while the sales of piled pine wood, mining timber and sulphate wood increased. The economic result of state forests was in average modest, reflecting the economic result in the northern districts were the most state forests are located. However, the financial results of the state forests were not less good than those of other forests under similar conditions of economic geography. Proximity to floating channels and especially railways increased the effectivity of fellings. Railways made it possible to harvest also small timber that is difficult to transport by floating, thus increasing the felling volume. Finally, means to improve profitability of state forests are discussed.
The PDF includes a summary in English.
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Lihtonen,
E-mail:
vl@mm.unknown
The valuation of forest land for financial accounting purposes is usually performed only when using methods that are based on wood resources. In the yield based methods, the book value of forest land and wood resources form one totality. In the first case, forest land in a separate land account usually has same value in the beginning and end of the accounting year. For instance, the costs of forest improvement are considered capital costs. Forest land can be valued either by multiplying the average hectare price of land with the hectares, or using separate unit prices for the different forest site types. Different ways to value forest land are presented, comparing the forest site type classification developed in Finland and the traditional method based on average height of the trees used in Central Europe. The study shows that values of forest land has relative nature.
The PDF includes a summary in German.
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Keltikangas,
E-mail:
vk@mm.unknown
The financial accounting of the forestry needs redefining in Finland due to the effect of forest improvement, especially peatland drainage, on timber balance and valuation of forest land. The aim of the study was to develop methods to determine the timber balance using a separate forest land account. The problems of timber balance are related to the technical methods to assess timber balance and the cost of the work, quantitative determination of the profit, and qualitative determination of the profit. One main problem is to whether to define the quantitative profit as a sustainability of timber resources or difference in the allowable cut and outturn. The article discusses the strengths and weaknesses of the methods, and concludes that regardless of the method that is used to calculate the timber balance, profit or loss accounts have less exact nature in forestry than in other sectors. Replacing reliably calculated revenue surplus with operating result based on timber account would lead to tentative results.
The PDF includes a summary in German.
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Keltikangas,
E-mail:
vk@mm.unknown
The term ‘expenses’ is in forestry insufficiently defined, and its use in the balance sheet of forest management is unclear. In dynamic balance theory the actual working expenses and capital expenditure are separated. The article discusses what should be considered working expenses and what capital expenditure when dealing with certain costs of the forest management, for example costs of administration, cultivation of forests, log-floating channels, and roads and drainage of peatlands.
The PDF includes a summary in English.
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Keltikangas,
E-mail:
vk@mm.unknown
