scholarly journals Methodological Tools for Diagnosing Insolvency (Bankruptcy) of Organizations in the Anti-Crisis Management System

2020 ◽  
Vol 50 (4) ◽  
pp. 588-601
Author(s):  
Svetlana Chernichenko ◽  
Roman Kotov
Keyword(s):  
Crisis Management ◽  
National Economy ◽  
Balance Sheet ◽  
General System ◽  
Legal Regulation ◽  
Diagnostic Model ◽  
Bankruptcy Risk ◽  
Agricultural Enterprises ◽  
Classical Models ◽  
Balance Sheet Liquidity

Introduction. Bankruptcy is the most important element of legal regulation of modern market relations. National economy has to be able to predict a potential default in the general system of anti-crisis management. Therefore, it needs advanced techniques and tools of anti-crisis diagnostics for the timely management solutions. Study objects and methods. The analytical information presented in this work is multi-tiered and reflects the all-Russian, industrywide, regional, regional-industry, and corporate levels. The research featured agricultural enterprises of the Kemerovo region. The information underwent three types of formatting: legislative, statistical, and diagnostic. Results and discussion. During the first stage, the authors assessed external factors and trends in individual components of anti-crisis diagnostics in a given economy sector against the background of all-Russian and industry-wide trends. Enterprises appeared sensitive to bankruptcy risk; the trend decreased in 2014–2018. The second stage involved developing of a selective-indicative model for diagnosing insolvency of Russian organizations. The model took into account regional and industrial traits and focuses on large and medium-sized agricultural enterprises in the region. The model selected general indicators from a set of studied parameters, formed from fifty financial ratios presented in twenty-two of the most well-known methods of anti-crisis analysis. Bankruptcy was diagnosed on the basis of preference matrix, according to the criterion of the active use of coefficients in analytical practice. A comparative analysis of bankruptcy criteria and indicators made it possible to define the degree of adequacy of the set of indicators. Four analytical vectors were defined after thematic grouping of the identified indicators: balance sheet liquidity (current liquidity ratio), property and capital structure (financial dependence and asset mobility ratios), security (working capital ratio with own circulating assets), efficiency (economic profitability, or loss ratio, and the ratio of business activity in the market). The equation of rating assessment of the insolvency probability demonstrated the total impact of these indicators, taking into account their individual “equity participation” in the aggregate of key parameters. Conclusion. The final set of general exponents of the diagnostic model can be qualified as a neuro-analogue of “classical” models that ignores the values of the regression coefficients, which are usually not adapted to Russian realities. The model built on the basis of bankruptcy indicators, taking into account their individual “equity participation” in the rating number, can be used as a flexible methodological tool for diagnosing bankruptcy in the national economy of Russia.

scholarly journals The methodological aspects of assessment of solvency and liquidity of agricultural enterprises

2020 ◽  
pp. 27-32
Author(s):  
Inna DVORNYK
Keyword(s):  
Financial Stability ◽  
Balance Sheet ◽  
Systematic Analysis ◽  
Agricultural Enterprises ◽  
Agricultural Enterprise ◽  
Priority Task ◽  
Rational Management ◽  
Balance Sheet Liquidity ◽  
Business Entities ◽  
Methodological Aspects

In modern conditions, the search for opportunities to strengthen the financial position and increase financial stability becomes a priority task of business entities, which is solved by means of a comprehensive systematic analysis of the enterprise. The purpose of the paper is to analyze the existing methodological approaches to assess the liquidity and solvency of an agricultural enterprise and to determine the directions of their improvement. Solvency is the presence in the enterprise of funds for repayment by them in due time and in full of their debt obligations arising from credit and other transactions of a monetary nature. Liquidity is a way to maintain solvency. Liquidity of an enterprise includes the concepts of liquidity and balance sheet liquidity. The article summarizes the classification of assets and liabilities of the balance sheet and defines the conditions of its absolute liquidity. The method of estimation of solvency and liquidity indicators is presented. The main factors, that influence the on the level of solvency of an agricultural enterprise, are summarized: nature of the enterprise activity, stock status, terms of settlements with debtors, state of accounts receivable. Areas of increase of solvency are distinguished: ensuring balance of assets and liabilities, increase of sales volumes and reduction of expenses, coordination of plans of production and sale, ensuring of uninterrupted work of the enterprise, attraction of long-term loans for financing of capital expenses, rational management of available financial resources, including determination of optimal volumes of production stocks control over the shipment of products, compilation of receivables, management of receivables, the collection of receivables in the next period, the use of modern forms of refinancing.

Institutionalization of the Accounting Profession: Ukrainian Case

2021 ◽  
Vol 12 (3) ◽  
pp. s167-s186
Author(s):  
Volodymyr Metelytsya ◽  
Oleksandr Petruk ◽  
Viktoriia Rozheliuk ◽  
Inna Balla ◽  
Liubov Мedvid
Keyword(s):  
Agricultural Sector ◽  
Initial Conditions ◽  
Legal Regulation ◽  
Educational Training ◽  
Accounting Profession ◽  
Professional Literature ◽  
Agricultural Industry ◽  
Agricultural Enterprises ◽  
Institutional Impact ◽  
The Impact

The aim of the study is to identify the influence of institutionalism on the accounting profession in Ukraine, in particular, to establish and assess the factors of such influence, its tools, characteristics and forecasting, on this basis, the prospects for the development of the institution of the accounting profession with an emphasis on the agricultural industry. Institutional impact on the accounting profession and its consequences are revealed through the use of a historical approach in research. To assess the initial conditions that have developed in Ukraine in matters of accounting, its development, the impact on it of existing institutions, including international ones, empirical analysis and assessment of the process of institutionalization of the accounting profession and its description in scientific professional literature were applied. To collect sociological information on the nature and characteristics of the accounting profession, a survey was conducted of 180 accountants of private agricultural enterprises and 70 accountants of state enterprises of the system of the National Academy of Agrarian Sciences of Ukraine in the context of 4 elements of the profession: functions and professional ethics of an accountant, legal regulation of accounting activities (organization and methodology accounting and reporting), educational training of accountants, professional accounting associations. To summarize the results of the survey, their illustration and analytical assessment, a graphical method was used. The use of modeling allowed confirmation of the assumption of the conservative nature of the accounting profession in Ukraine and the problematic nature of its self-regulated development. The authors concluded that it is necessary to improve the institution of the accounting profession in Ukraine, provide arguments and directions for solving problematic issues, in particular, the development of the professional movement and self-organization, improving the quality of training of accounting specialists in educational institutions, developing accounting methodology for the agricultural sector, improving the composition and accounting display of accounting objects.

scholarly journals POTENTIAL AND DIRECTIONS OF DEVELOPMENT OF THE AGRICULTURAL SECTOR OF UKRAINE IN THE CONDITIONS OF THE COVID-19 PANDEMIC: CURRENT SITUATION, CHALLENGES AND PROSPECTS

2021 ◽  
Author(s):  
Olha Shulha ◽  
Keyword(s):  
National Economy ◽  
Agricultural Policy ◽  
Agricultural Sector ◽  
Current Situation ◽  
The State ◽  
Agricultural Products ◽  
Purchasing Power ◽  
Food Markets ◽  
Agricultural Enterprises ◽  
The Eu

The state and contradictions of the development of the agricultural sector of the national economy are investigated. Challenges at the micro-, macro- and global levels for the agricultural sector in the context of the COVID-19 pandemic have been identified. It is noted that the main problems for the domestic agricultural sector in a pandemic were: reducing the purchasing power of the population, limiting the functioning of agri-food markets during quarantine, complicating the logistics of agricultural products. It is established that changes in the markets of countries that are major importers of agricultural products from Ukraine (China, India, the EU, Turkey, Egypt) in a pandemic will have the greatest impact on the development of Ukraine’s agricultural sector. It is concluded that among all sectors of the national economy, agriculture is the least affected by quarantine restrictions. It is shown that small and medium-sized farms suffer the greatest losses in a pandemic. The tasks facing agricultural enterprises and the state in the conditions of a pandemic are determined. The strategic directions of agricultural policy in Ukraine are indicated.

scholarly journals On the issue of human capital development in the national economy of Ukraine

2020 ◽  
Vol 11 (2) ◽  
pp. 86-95
Author(s):  
V. Nahornyi ◽  
◽  
T. Kostiuk ◽  
D. Pernykoza ◽  
◽  
...  
Keyword(s):  
Human Capital ◽  
Human Resources ◽  
National Economy ◽  
Social Protection ◽  
Agricultural Sector ◽  
Human Capital Development ◽  
Social Partnership ◽  
Agricultural Enterprises ◽  
Modern Economy ◽  
Capital Development

Population, man, human resources, human capital are the defining concepts in the consideration of issues related to the functioning of the national economy in modern economic conditions. It is generally recognized that labor activity is the main prerequisite that determines the material and spiritual wealth of man and society as a whole. Therefore, human resources at the present stage is one of the main components of the production potential of management in Ukraine, increasing the efficiency of use and reproduction of which are especially relevant. On the level of efficiency of human resources depends the level of welfare of the population, the development of productive forces, the scale of material production, etc. The development of intellectual productive forces and the strengthening of the influence of innovation and information factors contributes to the formation of a new socio-economic role of man in the modern economy and requires appropriate research. The article reveals the theoretical issues of trends in human capital development, a thorough analysis of the current state of human capital development and its importance in the modern economy. Based on the generalization of different views of scientists, the main stages of human capital formation in the agricultural sector of Ukraine's economy are identified and characterized. The problems of human capital use have been studied and proposals for its improvement have been worked out. It is revealed that the process of reproduction of human capital in agricultural enterprises and its effective use in the conditions of market transformations should be based on the principles of active policy aimed at reviving the economic situation in agriculture; scientific substantiation; development of measures in order to increase jobs and increase the labor needs of agricultural enterprises; improvement of the system of remuneration, social protection of agricultural workers; formation of the mechanism of social partnership, etc.

Bank capital and liquidity creation: evidence of relation from India

2017 ◽  
Vol 11 (2) ◽  
pp. 152-166 ◽  
Author(s):  
Muhammad Umar ◽  
Gang Sun ◽  
Muhammad Ansar Majeed
Keyword(s):  
Balance Sheet ◽  
Capital Requirements ◽  
Financial Fragility ◽  
Crowding Out ◽  
Bank Capital ◽  
Content Type ◽  
Crisis Period ◽  
Balance Sheet Liquidity ◽  
Indian Banks ◽  
The Impact

Purpose This study analyzes the impact of changes in bank capital on liquidity creation. More specifically, it tests “financial fragility – crowding out” and “risk absorption” hypotheses for Indian banks. Design/methodology/approach It uses the data of 136 listed and unlisted banks, ranging from the year 2000 to 2014. The analysis is based on panel data techniques. Findings There is negative relationship between narrow measure of bank liquidity creation and capital. Therefore, in the case of India, “financial fragility – crowding out” hypothesis holds for “cat nonfat” measure of liquidity creation. However, there is no relationship between “cat fat” measure of liquidity creation and capital, except for listed banks, and the banks in the pre-crisis period. In these two cases, “risk absorption” hypothesis holds. Furthermore, none of the hypotheses holds in the post-crisis period. Practical implications The higher capital requirements posed by the Basel III will result in lower on-balance-sheet liquidity creation, which may result in lower profitability for the banks. However, increase in capital does not affect off-balance-sheet liquidity creation, rather enhances it in case of listed banks. So, the managers may use risky off-balance-sheet liquidity creation to improve profitability. Therefore, the regulators must be vigilant to the off-balance-sheet activities of banks to avoid banking turmoil. Originality/value To the best of authors’ knowledge, this is the first study to explore which hypothesis regarding the relationship between bank capital and liquidity creation holds for Indian banks. It contributes to the existing literature by providing the empirical evidence that “financial fragility – crowding out” hypothesis holds for on-balance-sheet liquidity creation and “risk absorption” hypothesis holds for listed banks. It also points to the new direction that neither of the hypotheses holds in the post-crisis period in India.

Accounting small business: national and international standards

Auditor ◽  
2015 ◽  
Vol 1 (1) ◽  
pp. 94-100 ◽  
Author(s):  
Филобокова ◽  
L. Filobokova
Keyword(s):  
National Economy ◽  
Small Businesses ◽  
Legal Regulation ◽  
Global Market ◽  
International Standards ◽  
Competitive Environment ◽  
Accounting System ◽  
Industry Standards ◽  
Medium Businesses ◽  
The Relationship

From 1 January of the current year, the legal regulation of accounting is a system of Federal and industry standards, with a given vector of development and reform of the national accounting system in the direction of the IFRS and the presence of an appropriate standard for small and medium businesses, strategically expand the circle of participants in the relationship and provides small businesses access to the global market, which is considered by the author as one of the most important conditions for increasing competitiveness and fostering a competitive environment in the national economy.

scholarly journals MODEL OF PREVENTIVE CRISIS MANAGEMENT IN AGRICULTURAL ENTERPRISES

2020 ◽  
Author(s):  
Kateryna Golovach ◽  
Оlena Golovach ◽  
Natalia Semenchuk
Keyword(s):  
Crisis Management ◽  
Agricultural Enterprises

scholarly journals A study of the causes leading to the liquidation of agricultural enterprises

2009 ◽  
Vol 3 (5-6) ◽  
pp. 123-127
Author(s):  
Annamária Kotormán
Keyword(s):  
Crisis Management ◽  
Agricultural Production ◽  
Equity Capital ◽  
Economic Knowledge ◽  
Share Capital ◽  
Agricultural Enterprises ◽  
Prevention And Treatment ◽  
Harmful Effects ◽  
Term Maintenance

The viability of agricultural enterprises is of paramount importance. Their liquidation has harmful effects on broad strata of society. The aim of my research is therefore to analyze the leading causes of liquidation of agricultural enterprises. The research was led on 17 agricultural enterprises. This may help in the prevention and treatment of their insolvency. The research results show that a long-term agricultural production is not sustainable with a low equity capital. For the long-term maintenance it is necessary that the investors establish the enterprise with a capital according to the type of the production.The loan can not replacethe entrepreneursown resources,it is only complementaryto it.Theownersof agriculturalbusinessesshould strive to ensurethatthe paid-up share capital is kept in the firm, because in case of payment difficulties, this can be an adequate financial provision. Companies with financial problems can avoid liquidation if the crisis is detected in time by the leaders. However, the owners must organize the management of the enterprise so that it should have the necessary technical and economic knowledge. With an appropriate management, and use of means of crisis management, the liquidation of the enterprise can be prevented.

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