Long-term assets and material as production factors
nLong-term assets
nUseful life of long-term tangible assets
nCapacity of long-term tanglible assets and its use
nMaterial
nMaterial times
nMaterial usage

Long-term assets
nLong-term tangible assets:
nGrounds
nBuildings and structures
nMachines and production equipment
nTools
nTransport vehicles and equipment
nOffice equipment, etc.
n
nLong-term intangible assets:
nPatents
nSoftware
nGoodwill etc.
n
nLong-term financial assets:
nStocks
nBonds (received)
nEquity shares, etc.

Useful life of long-term tangible assets
nEconomic useful life
nTechnical useful life
n
nUseful value
nMarket value
n
nBalance depreciation
nCalculation depreciation

Capacity of long-term tanglible assets and its use
nTechnical capacity
nEconomic capacity
nMinimum capacity
n
nCapacity utilization rate
•
•Capacity utilization rate       =   _  real production    * 100
•
•possible production

Capacity of long-term tanglible assets and its use
nTime funds of production equipment:
ncalendar time fund
nnominal time fund
nusable (effective) time fund
•calendar time fund
•nominal time fund
•non-working day
•usable time fund
•scheduled downtime

Material
nMaterial means all goods, of which the final products are formed by changing their shape,
substance or by incorporation.
n
nProduction Material:
nraw materials
nsupporting substances
noperating substances
nfinished parts

Material times
n„just-in-time-production“
n= sales management in such a way that no stocks of finished products are produced or the stocks
are as small as possible; Similarly, the material is provided so that it is available at the start
of production

Material usage
n
nMaterial Losses:
na dud resulting from a processing error or material,
nwaste material created for example by machining when changing the shape of the material when it is
transformed into a product.

Material usage
nAn organization may prevent the generation of waste and duds by:
npurposeful purchase of material,
nthe use of rational and technically advanced technologies,
nworkers' interest in material savings and quality of work.

Material usage
nLosses that are caused by existing duds and waste (or the their disposal) can be reduced by:
nsale of waste and duds,
nwaste treatment for by-products,
nwaste recycling.