scholarly journals Accounting reports as an information base for analyzing the financial stability of an enterprise

2020 ◽  
Vol 8 (1) ◽  
pp. 81-85
Author(s):  
Ekaterina Orlova ◽  
Al'fiya Imamutdinova
Keyword(s):  
Market Economy ◽  
Financial Stability ◽  
Financial Statements ◽  
Objective Analysis ◽  
Financial Indicators ◽  
Successful Development ◽  
Information Base ◽  
Financial Condition ◽  
Accounting Reports ◽  
Effective Growth

For effective growth in a market economy, it is necessary to properly manage the company's finances, including conducting a reliable and objective analysis of the company's financial condition based on complete and up-to-date information. The main source of such information is accounting reports. Therefore, it is necessary to be able to navigate the financial statements and financial indicators of the organization for the successful development of the enterprise

FRAUD TRIANGLE ANALYSES IN DETECTING FRAUDULENT FINANCIAL STATEMENT USING FRAUD SCORE MODEL

2020 ◽  
Vol 25 (1) ◽  
pp. 29-44
Author(s):  
Mariati ◽  
Emmy Indrayani
Keyword(s):  
Financial Stability ◽  
Linear Regression Analysis ◽  
Financial Statements ◽  
Multiple Linear Regression Analysis ◽  
External Pressure ◽  
Financial Statement ◽  
Fraud Triangle ◽  
Financial Statement Fraud ◽  
Financial Condition ◽  
Score Model

Company’s financial condition reflected in the financial statements. However, there are many loopholes in the financial statements which can become a chance for the management and certain parties to commit fraud on the financial statements. This study aims to detect financial statement fraud as measured using fraud score model that occurred in issuers entered into the LQ-45 index in 2014-2016 with the use of six independent variables are financial stability, external pressure, financial target, nature of industry, ineffective monitoring and rationalization. This study using 27 emiten of LQ-45 index during 2014-2016. However, there are some data outlier that shall be removed, thus sample results obtained 66 data from 25 companies. Multiple linear regression analysis were used in this study. The results showed that the financial stability variables (SATA), nature of industry (RECEIVBLE), ineffective monitoring (IND) and rationalization (ITRENDLB) proved to be influential or have the capability to detect financial statement fraud. While the external pressure variables (DER) and financial target (ROA) are not able to detect the existence of financial statement fraud. Simultaneously all variables in this study were able to detect significantly financial statement fraud.

scholarly journals THE EFFECTIVENESS OF ENSURING THE FINANCIAL STABILITY OF THE RESTAURANT BUSINESS IN THE CRISIS COVID-19

2020 ◽  
Author(s):  
Liudmyla Batchenko ◽  
◽  
Liliia Honchar ◽  
Andrii Beliak ◽  
◽  
...  
Keyword(s):  
Financial Management ◽  
Financial Stability ◽  
Hospitality Industry ◽  
Business Environment ◽  
Financial Indicators ◽  
Financial Condition ◽  
The Matrix ◽  
A Chain ◽  
Key Indicators ◽  
Enterprise Policy

The study identifies and systematizes key indicators and criteria for ensuring the financial stability of the restaurant business. The complex and thorough analysis of features of maintenance of financial stability of the enterprises of restaurant business on an example of one of restaurants of a chain of the Japanese kitchen of LLC «Sushiya» is carried out. After analyzing the key indicators of financial and economic activity of the restaurant, using the method of complex calculation of the rating of the financial condition of enterprises in the hospitality industry, the level of financial stability of the studied enterprise is determined. Based on the results of practice-oriented analysis, the ranking of financial management goals by the degree of impact on the financial stability of the enterprise. The mechanism of ensuring financial stability of restaurant business enterprises is modeled. The developed and substantiated mechanism is based on a unique methodology, which, unlike existing ones, is adapted to the field of hospitality, is carried out by specific tactical and strategic tools of financial management, based on the chosen type of enterprise policy; takes into account the dynamics of the main financial indicators of the enterprise, which is planned to implement the mechanism and the possible impact of factors of the external changing business environment. With the help of the matrix of financial strategies of J. Franchon and I. Romane, the position of the restaurant «Sushiya-Lavina» is determined and the methodological tools for improving the efficiency of its financial stability are substantiated.

scholarly journals Analysis of sensitivity of a company's financial sustainability to random factors

2020 ◽  
Vol 210 ◽  
pp. 13002
Author(s):  
Ilona Avlasenko ◽  
Lyudmila Avlasenko ◽  
Isa Peshkhoev ◽  
Yuri Podkolzin ◽  
Oksana Savelyeva
Keyword(s):  
Financial Stability ◽  
Unstable State ◽  
Financial Indicators ◽  
Financial Condition ◽  
Distribution Parameters ◽  
Normal Stability ◽  
Normal Law ◽  
The Impact ◽  
Enterprise Activity

In this article the problem of influence of accidental changes of financial indicators of enterprise activity (equity, long-term/short-term borrowed capital, reserves and costs, etc.) caused by uncertainty of market conditions on values of indicators of financial stability is considered. The study is conducted on the basis of the assumption that the studied financial indicators of the enterprise are random values with a normal law of distribution. To estimate the distribution parameters of these random values, statistical data on the values of the financial indicators of the enterprise for previous years are used. Following estimates of probabilities of financial stability levels were built: absolute stability, normal stability, unstable state and crisis financial state. With the help of statistical modeling, numerical experiments were conducted in order to determine the level of financial condition and conclusions were formulated on the impact on the financial condition of the enterprise of the parameters of the distribution of probabilities of random variables - indicators of the financial and economic activity of the enterprise.

scholarly journals FINANCIAL SECURITY OF THE ENTERPRISE: AN ALTERNATIVE APPROACH TO EVALUATION AND MANAGEMENT

2021 ◽  
Vol 19 (02) ◽  
pp. 303-336
Author(s):  
Larysa Dokiienko
Keyword(s):  
Sunflower Oil ◽  
Financial Stability ◽  
Methodological Approach ◽  
Oil Production ◽  
Financial Statements ◽  
Security Level ◽  
Financial Security ◽  
Financial Indicators ◽  
Scientific Publications ◽  
Alternative Approach

Purpose – The main purpose of the article is to justify an alternative approach to assessing the level of financial security of the enterprises based on use the model of modified and adjusted financial statements. Research methodology – The following methods of general theoretical and empirical research were used in the writing of the article: abstract-logical (when systematizing scientific publications on the problems of financial security management of enterprises), comparisons and grouping (when developing and validating a model of modified financial statements), coefficient (when considering and using models for adjusting modified financial statements), grouping (when clustering enterprises depending on the results of the analysis), formalization (when developing a matrix for diagnosing the level of financial security of enterprises), generalization (when formulating research findings). Findings – Based on an established sample from nine of sunflower oil production enterprises of Ukraine their modified financial statements have been developed, it was adjusted to the consumer price index, key financial indicators of the model have been identified and the level of their financial security over the past 7 years have been assessed. The research identified a direct relationship between the level of financial security of enterprises and key financial indicators: financial stability, solvency and financial risk. Also, the proposed methodological approach can be not only an important tool for diagnosing the level of financial security of enterprises, but also its forecasting. Research limitations – The research limitation is associated with sampling size and geographical scope. Also, the diagnostic results may differ depending on the chosen adjustment base, determination of adjustment method and selection of inflation measurement method for the modification financial statements. Practical implications – Practical use of the proposed model proves that it is a convenient, simple, understandable and effective tool for diagnosing the financial security level of enterprises in terms of the main components: financial stability, solvency, and risk. The use of the proposed approach to the assessment of the financial security of the enterprise can serve as an indicator of the overall efficiency of its management at sunflower oil production enterprises and as an informative tool for factor analysis. Originality/Value – Consideration of a significantly different, alternative approach that allows enterprises to quickly and easily diagnose the level of their financial security; to manage it effectively during the current period, and can also become the basis for the formation of strategic directions of financial development and forecasting of the level of financial security for prospective period.

scholarly journals Assessment of the impact of the Covid-19 pandemic on the economic security of Russian oil companies based on IFRS reporting

2021 ◽  
Vol 9 (2) ◽  
pp. 21-25
Author(s):  
Mariya Bulatenko ◽  
Vera Grishina ◽  
Nadezhda Grishina
Keyword(s):  
Financial Stability ◽  
Financial Statements ◽  
Economic Security ◽  
Equity Capital ◽  
Energy Prices ◽  
Oil Companies ◽  
Financial Condition ◽  
Financial Investments ◽  
Crisis Conditions ◽  
The Impact

During the quarantine measures introduced due to the spread of COVID-19, there was a decrease in demand for energy resources, which, while maintaining supply from oil companies, led to a sharp decline in energy prices. As a result, oil industry enterprises are in crisis conditions and now it is important to assess the level of their economic security. In the article, the source of information on the financial results and changes in the financial position of oil companies is their public financial statements prepared in accordance with IFRS. The authors assess the impact of the Covid-19 pandemic on the economic security of PJSC NK Rosneft, PJSC NK Lukoil, PJSC NK Bashneft, PJSC Tatneft, PJSC Gazprom Neft on the basis of a horizontal analysis of financial investments, reserves, equity capital and revenues of oil companies under IFRS for 2019 and 2020. The article provides a calculation and analysis of liquidity and financial stability indicators, as well as an assessment of the likelihood of bankruptcy of enterprises according to three models based on IFRS reporting. The most vulnerable to the consequences of quarantine measures was PJSC NK Rosneft, which is confirmed by the data of an assessment of its financial condition.

scholarly journals Management of the monitoring system in financial projects of organizations

2021 ◽  
Vol 1 (1) ◽  
pp. 316-320
Author(s):  
Volodymyr GriGorenko ◽  
Tetyana Kadylnykova
Keyword(s):  
Financial Stability ◽  
Balance Sheet ◽  
Financial Statements ◽  
Financial Indicators ◽  
Building Systems ◽  
Rational Version ◽  
Function Calculation ◽  
Software Information ◽  
Made In

The article considers the basics of building systems for monitoring financial projects, which are based on an algorithm that determines the project actions, their sequence, the composition of the executors, funds and resources needed to perform these actions. The use of monitoring systems in the management of financial projects can minimize the risk of errors made in the early stages of development, and facilitates various project parameters. The main functions that will be performed by the system of monitoring financial projects are as follows: adding, editing, reviewing information of election financial statements, results of balance sheet items; registration, users, editing user information; authorization in the system using login and password; password recovery function; calculation of indicators of financial stability of the project; determination of financial stability of the project on the basis of financial indicators; adding, editing information in the project; view, edit information by the administrator about clients registered in the system. Creation and management of the system of monitoring of financial projects allow: to establish the necessity of construction and expediency of realization of the financial project; determine what types of work, in which departments of the organization and in what order they should be performed, by the financial project; choose the most rational version of the database and all types of its support (technical, software, information, organizational, linguistic, mathematical, legal); determine the optimal composition of methods and means of implementation about a particular organization.

scholarly journals Multicriteria optimization of oil and gas enterprises financial stability using the genetic algorithm method

2021 ◽  
Vol 107 ◽  
pp. 06005
Author(s):  
Marta Shkvaryliuk ◽  
Liliana Horal ◽  
Inesa Khvostina ◽  
Natalia Yashcheritsyna ◽  
Vira Shiyko
Keyword(s):  
Genetic Algorithm ◽  
Risk Management ◽  
Financial Stability ◽  
Oil And Gas ◽  
Financial Indicators ◽  
Management Efficiency ◽  
Financial Condition ◽  
Genetic Algorithm Method ◽  
Oil And Gas Companies ◽  
Integral Indicator

The article considers the problem of optimizing the financial condition of oil and gas companies. The offered methods of optimization of a financial condition by scientists from different countries are investigated. It is determined that the financial condition of the enterprise depends on the effectiveness of the risk management system of enterprises. It is proved that the enterprises of the oil and gas complex need to develop a system for risk management to ensure the appropriate financial condition. The financial condition is estimated according to the system of certain financial indicators, the integrated indicator of financial condition assessment is constructed using the method of taxonomy. According to the results of the calculation of the integrated indicator, it is concluded that this indicator does not have a stable trend. On the basis of the conducted researches it is offered to carry out optimization of an integral indicator of a financial condition with use of genetic algorithm in the Matlab environment. Based on the obtained results, recommendations of the management of the researched enterprises on increase of management efficiency are given.

APPLICATION OF FINANCIAL ANALYSIS IN FUNCTION OF COMPANIES’ LIQUIDITY EVALUATION

2018 ◽  
Vol 28 (5) ◽  
pp. 1725-1732
Author(s):  
Ajsel Usinova
Keyword(s):  
Business Processes ◽  
Financial Analysis ◽  
Financial Statements ◽  
Financial Indicators ◽  
Financial Reports ◽  
Special Contribution ◽  
Financial Ratio ◽  
Financial Condition ◽  
Financial Ratio Analysis ◽  
Master's Thesis

The financial statements represent a "snapshot" of the company's operations in a specific period and one of the main sources of data for evaluation of the financial condition and result of companies and analyze their overall performance. The analysis of financial statements is the use of accounting information in decision-making and investment business. The process of analyzing financial reports is designed to help business people, investors and lenders to learn how to read, interpret and analyze prepared financial statements. Essential tool in the analysis of financial statements is financial (ratio) analysis. The objective of this master’s thesis is to explain the application of financial indicators in the analysis of business processes in general and to give a special contribution to the understanding of the application of financial liquidity indicators. From this point of calculation is illustrated and also made a detailed analysis of the performance of the liquidity situation with specific representative sample of companies in the Macedonian economy.

FINANCIAL CAPACITY OF ROAD ENTERPRISES — AS ONE OF THE CRITERIA FOR PARTICIPATION IN THE PROCUREMENT PROCEDUR

2021 ◽  
Vol 2021 (24) ◽  
pp. 8-19
Author(s):  
Artem Bezuglіy ◽  
◽  
Ihor Hresko ◽  
Olena Belska ◽  
Valentyna Kontseva ◽  
...  
Keyword(s):  
Financial Reporting ◽  
Financial Stability ◽  
Financial Statements ◽  
Normative Values ◽  
Economic Activities ◽  
Financial Capacity ◽  
Financial Condition ◽  
The Future ◽  
Procurement Procedure

Introduction. Financial capacity is a complex concept that is influenced by various financial and economic factors and is determined by the ability of the enterprise to perform its financial activities. One of the qualification criteria provided in [1] is the financial capacity availability, which is confirmed by financial statements. When fulfilling this criterion, enterprises are allowed to participate in the procurement procedure for performing of road works or services. Today, the analysis of financial condition according to the financial statements is a needed condition for evaluation the quality of financial and economic activities of the enterprise, and the determination of financial capacity of enterprises is essential and practical, because the economic level of the enterprise and the ability to analyze financial and economic activities depend on it. Problem statement. Requirements to the tender documents are set by the customer in order to verify the bidder, his ability to ensure the implementation of the procurement project and meet all the needed requirements. The customer needs to make sure that the public funds spent on the purchase will not be lost due to the financial problems of the contractor, as well as whether the contractor has sufficient financial capacity to perform road works. The criterion of financial capacity can be applied to any procurement, because it provides confirmation of the financial capabilities of the bidder. The need to consider this topic is to evaluate the financial capacity of road enterprises, the application of theoretical and practical approaches during the evaluation. Assessing and determining the level of financial capacity of road enterprises is an important task both in view of the needs of the enterprises themselves and in view of the customers of road works and services. Purpose. The purpose of the article is to highlight the theoretical and practical approaches to evaluation of the financial capacity of road enterprises, determination of the effectiveness of their activities based on the results of the evaluation and determination of bidders that will be allowed to participate in the procurement procedure. Given the need to establish the level of financial capacity as a result of the road company’s realization of its potential, it is important to identify and justify specific indicators of financial capacity and proposals for their practical application. Materials and methods. To determine the financial capacity of road enterprises, a set of scientific and methodological tools, economic and mathematical techniques and methods based on financial and statistical information about the activities of enterprises and indicators that affect it is used. In general, the procedure for evaluation of the financial capacity of road enterprises involves the following stages: collection of needed information and data on specific indicators that will characterize the financial state of the enterprise; calculation of indicators; comparing them with normative values. The financial statements of enterprises contain information on the state of enterprise finances, based on the analysis of which the main trends in the formation and use of financial resources of the enterprise, the reasons for changes, identifying strengths and weaknesses of the enterprise are determined, as well as reserves to improve financial condition in the future. It is for the assessment of the financial capacity of road enterprises a set of indicators for analyzing the financial condition of the enterprise is formed. Financial reporting data serve as a basis for calculating indicators. Results. The paper highlights the mechanism for evaluation of the financial capacity that will help to perform a comprehensive analysis of the financial activity of road companies and determine whether the company is allowed, given its financial capabilities, to participate in road works or services procurements. Evaluation of financial indicators and ratios will help for planning and forecasting the future activities of road companies for their participation in the procurement procedure for road works or services. Conclusions. When writing of the article provides an example of evaluation of the financial capacity, as well as its significance for the activities of road enterprises is determined. The coefficients and indicators proposed in the work can be used for objective evaluation of the financial capacity of road enterprises and will allow the following: to determine the degree of solvency of road enterprises, liquidity, the level of their financial stability and business activity, to determine their creditworthiness.

scholarly journals Problems of the Choice of Economic Measuring Instruments

2019 ◽  
Vol 6 (5) ◽  
pp. 36-45
Author(s):  
E. L. Shuremov
Keyword(s):  
Economic Growth ◽  
Fair Value ◽  
Measuring Instruments ◽  
Economic Systems ◽  
Information Base ◽  
Financial Condition ◽  
Accounting Reports ◽  
Professional Judgments ◽  
General Indicator ◽  
Stimulation Of

In article problems of ambiguity of the choice of the key economic indicators characterizing efficiency of functioning of social and economic systems are considered. Ambiguity problems in comparison of a financial condition of the enterprises because of differences in accounting policies and professional judgments of accountants are considered. It is specified problems of application of estimates at fair value because of ambiguity of its objective calculation that can lead to deterioration of accounting reports. The restrictions of applicability of difficult economic-mathematical models connected with ambiguity of formation of their information base are shown. It is specified importance of differences in dynamics of economic growth of the countries at their assessment on the basis of indicators of gross domestic product and the general indicator of progress. Proceeding from World3 model conclusions, dangers of stimulation of consumption as factor of economic growth are shown.

Sign in / Sign up

Export Citation Format

Share Document