Enterprise funds refer to the funds whose ownership and use right belong to the enterprise. The funds of state-owned enterprises belong to the state. Since the reform of the enterprise financial system in 1978, state-owned enterprises have a certain degree of control over their own operation of enterprise funds, profit retention, after tax profit retention and other funds drawn from profits, and the state cannot withdraw and allocate them freely. Although this part of funds is also national funds, relatively speaking, the source nature has changed greatly. [1]
（1） Materiality of enterprise funds [2]
From the perspective of the form of income, capital is money. However, from the perspective of application form, it is manifested as various assets of the enterprise. Most of them exist in the form of property and materials. Some exist in the form of temporarily idle currency. Only long-term foreign investment can exist in the form of currency for a long time. Funds in the form of property and materials or currency. From the perspective of economic content, they are all factors of production and operation of enterprises. The capital here has been produced in the past. A part of social material resources that will continue to be used for production and circulation. It is the material condition of social reproduction. This is the materiality of enterprise funds.
（2） Turnover of enterprise funds
Capital is the currency advanced for the formation of internal production and operation factors and external investment of enterprises. With the realization of enterprise production and operation and foreign investment income. The original advance money was recovered. It will continue to be used as an advance for the next production, operation and foreign investment process. The process of fund advance - withdrawal - re advance - re withdrawal is repeated. It is the turnover of funds. Fund recovery shall be based on expense compensation. Only when the production, operation and foreign investment of the enterprise can maintain the principal and make profits. Capital turnover can be carried out smoothly; In case of losses in production and operation activities and foreign investment of the enterprise. Some funds will suffer losses. The total amount of funds previously advanced will be reduced. Force enterprises to reduce the scale of production, operation and foreign investment. Even bankruptcy. It only emphasizes that finance provides funds for production and operation activities. It does not emphasize the full recovery of funds. Ignoring the turnover of capital is a one-sided production view. It is harmful to the development of socialist economy.
（3） Value added of enterprise funds
Full recovery of advance funds. It is the minimum requirement for investors. stay socialist market economy Conditions. The enterprise is the primary investor. Whether it is internal investment for production and operation activities. Or investing abroad. Its basic motivation is to make profits. That is, after the original advance fund is recovered. It will also bring a new added value. Its monetary performance is the net income of the enterprise. The balance of the enterprise's net income after paying the turnover tax is the enterprise's profit. The motivation of investors to pursue profits. Is the necessity of capital appreciation; The possibility of capital appreciation lies in the objective existence of the value of surplus products created by workers for society in the process of reproduction. Marx's theory of surplus value is the theoretical basis for explaining the capital appreciation. Only emphasize the materiality and turnover of funds. Neglect the value-added of funds. In essence, we only attach importance to the speed of production development. One sided view of ignoring economic benefits. It should be abandoned. The materiality, turnover and value-added of funds are interrelated and inseparable organic whole. There are different classifications of enterprise funds. According to the source of funds, it can be divided into: enterprise capital and borrowed funds; According to the field of sports, it can be divided into circulating funds and production funds; It can be divided into monetary capital, production capital and commodity capital according to the functional form; According to the circulation mode and its role in the formation of value, it can be divided into: capital for means of production, capital for labor remuneration; Production capital can be divided into fixed capital and working capital according to its value turnover mode. Under the conditions of socialist market economy, capital, like capital, must be constantly moving in order to achieve proliferation. Marx's analysis capitalist society The principle of individual capital movement is also applicable to the capital movement of socialist enterprises. [3] Under the conditions of commodity and monetary economy, the production process of industrial enterprises is not only a labor process in which workers produce industrial products with use value through labor, using labor materials such as machinery and equipment, acting on labor objects such as raw materials, but also a process in which product value is formed and realized. Therefore, the factors such as means of labor and objects of labor required by industrial production not only exist in physical form, but also exist in value form, and money must also be used to build and purchase means of labor, purchase objects of labor, pay labor remuneration and other expenses. Otherwise, production cannot proceed. The monetary performance of the material value and the currency itself (monetary capital) in the process of enterprise reproduction are the production and operation capital of the enterprise, and are the main components of the enterprise capital. In addition, in order to meet the needs of production development and the material and cultural life of employees, the enterprise shall, in accordance with the provisions of the national financial system, draw various special funds internally, and obtain special appropriations and national bank To form the special fund of the enterprise and become another component of the enterprise fund. The production and operation funds and special funds owned by the enterprise are all the funds of the enterprise. They are used by people to organize and realize the reproduction of products. [4] The movement of enterprise funds must go through three stages in the process of reproduction, namely, purchase, production, and sales. In line with the above three stages, enterprise funds take three forms, namely, monetary funds, production funds, and commodity funds, and perform three functions, namely, supply, production, and sales, to create and realize value. After three forms of enterprise capital and the realization of value multiplication, it returns to the original starting point. This movement process constitutes the circulation of enterprise funds. [3]
