The Uniform Logic System of Business Efficiency Evaluation Methods

Abstract

This paper shows that the various rating calculation methods of business efficiency calculations are built according to a unified logic system. It provides an overview of the rich methodological background and presents a transparent system picture. The analysis shows that the general return requirement is the starting point for business efficiency calculation methods, pointing out that only those methods of calculation are suitable for measuring business efficiency which are logically consistent with the general return requirement. It shows also the essentials of the mixed profit categories and presents and interprets the method elements of business efficiency calculations, which can be used to construct various calculation formulas for different business matters. The uniform logic system of method elements may form a guiding thread when selecting and evaluating the correctness of the method used. The paper draws attention to the fact that a number of efficiency-computing conceptions obviously fail to comply with the general return requirement and consequently in such cases may also be preferred less efficient or even inefficient variants.