1. Capital circulation is divided into purchase stage, production stage and sales stage.

1. Purchase stage: monetary capital is converted into production capital, and currency is converted into commodities. The essence of capital movement in the purchase stage prepares for surplus value production. The currency at this stage not only performs the functions of general currency, but also performs the functions of capital.

2. production stage: the transformation of production capital into commodity capital is the decisive stage among the three stages. The essence of capital activities in the production stage is production surplus value. At this stage, the means of production and labor force play the role of both general production factors and production capital.

3. Sales stage: the transformation of commodity capital into monetary capital is the key stage among the three stages. The essence of capital movement in the sales stage is to recover the capital invested in production and realize the surplus value created in production by selling goods. ?

second, capital turnover is a capital circulation process that is repeated and repeated.

1. Capital turnover is a repeated capital cycle, while capital cycle is a one-time capital turnover.

2. capital turnover speed: expressed by the length of capital turnover time or turnover times. The capital turnover rate is directly proportional to the turnover times and inversely proportional to the turnover time. Under the condition of market economy, enterprises will do everything possible to shorten the capital turnover time, increase the number of capital turnover and speed up the capital turnover.

3. capital turnover time: it is the duration of capital turnover once. That is, the time for capital to return to its original form after realizing value proliferation from one form.

method and cycle of expanding materials

Of course, different industries have different turnover methods and cycles. Real estate can only be handed over in a few years, thermal underwear lasts for one year, and the catering industry requires multiple turnover rates every day, and the industries with monthly cycles are even more unclear.

Small companies often encounter that customers pay back money slowly, which affects the normal operation of the projects being implemented; Or when the customer's payment is not in place, it is difficult to undertake new big project opportunities because of insufficient cost; Or the company continues to expand its scale, but there is a shortage of available funds.

if the essence of an enterprise is execution, then the essence of business is turnover. In fact, execution and turnover are both skills, but skills are ever-changing.

Capital circulation is the unity of production process and circulation process. In the process of mutual transformation and interweaving of funds in physical form and monetary form, the value of advance funds has not disappeared, but has increased. In order to ensure the continuous circulation of funds, advance funds must exist in three forms at the same time in a certain proportion.

and each form of funds must constantly go through its three forms of changes. Therefore, socialist funds circulate continuously, and at the same time, it contains three circulation forms, namely, the circulation of monetary funds, the circulation of production funds and the circulation of commodity funds.

the realistic circulation of socialist funds is the unity of three forms of capital circulation. The circulation of funds is stagnant in any form or at any stage, and funds cannot continue to circulate, which shows that there are obstacles to social reproduction.

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