IMPACT OF FOREIGN CURRENCY ACCOUNTS PAYABLE ON THE COMPANY'S FINANCIAL CONDITION DURING THE GLOBAL CRISIS

2021 ◽  
Author(s):  
E.A. Fomicheva
Keyword(s):  
Foreign Currency ◽  
Global Crisis ◽  
Financial Condition ◽  
Accounts Payable

Business Process Model for Monitoring the Automatic Payments in the "Client-Bank" System

2021 ◽  
pp. 18-28
Author(s):  
Olha V. Kuzmenko ◽  
Serhii V. Mynenko ◽  
Serhii V. Lyeonov ◽  
Aleksy S. Kwilinski
Keyword(s):  
Money Laundering ◽  
Business Process ◽  
Process Model ◽  
Foreign Currency ◽  
Business Process Model ◽  
Financial Condition ◽  
Tax Payments ◽  
Financial Monitoring ◽  
Bank System ◽  
Legal Entities

The innovative development of banking presupposes modernization in the approaches to anti-money laundering. The article considers the issue of financial monitoring of banking operations without bank employees’ participation through the "Client-Bank" system. Two models for monitoring the automatic payments in the "Client-Bank" system are identified. The list of functions performed by the "Client-Bank" system in terms of types of clients: individuals and legal entities (including individuals-entrepreneurs) was determined. The first model describes general indicators of transactions that have the risk of money laundering. The second model focuses on the specific features of the "Client-Bank" system functionality for legal entities or individual entrepreneurs. Several criteria for the riskiness of the operation in terms of money laundering are considered. The developed business process model takes into account the verification of the participant's affiliation to countries that do not implement or improperly implement the recommendations of intergovernmental organizations, the participant's affiliation to politically significant or related persons and the withdrawal of capital abroad, including offshore areas . In addition, checks of financial condition of counterparties, regularity of receipts of payments and cash withdrawals, circulation of foreign currency, loan repayment, receipt of a significant amount of cash, ip-address of the client and description of the transaction are included. A feature of the business model for legal entities is the verification of NACE compliance, analysis of the number of contractors, analysis of the timeliness of tax payments. Directions for further development of this study identify the possibility of intellectualizing the financial monitoring system and improving the regulatory framework in the system "Client-Bank" to enhance the system of anti-money laundering in banking institutions.

scholarly journals ANALYTICAL PROVISION OF THE ENTERPRISE'S DEBT IN THE CONTEXT OF CRISIS MANAGEMENT

2019 ◽  
pp. 146-160
Author(s):  
Tetiana MULYK ◽  
Olena TOMCHUK ◽  
Lidiia FEDORYSHYNA
Keyword(s):  
Crisis Management ◽  
Management System ◽  
Financial Analysis ◽  
Debt Management ◽  
Full Potential ◽  
Financial Condition ◽  
Managerial Decisions ◽  
Accounts Payable ◽  
Composition And Structure ◽  
Main Components

The system of analytical support of the enterprise in conditions of crisis management is investigated. The approaches to understanding the essence of crisis management, its purpose, role and the basic requirements to the formation of the system of crisis management are specified. It is established that the crisis management of the enterprise is a complex system that is different in its strategic nature and aims at eliminating of possible and existing problems in its activities by developing and implementing a special program using the full potential of modern management. It is established that the crisis management system should provide an appropriate approach to the enterprise's debt in order to effectively manage it, to ensure optimum balance between receivables and accounts payable, to prevent the occurrence of overdue debts, to systematically monitor the calculations, and so on. The analysis of receivables and accounts payables by branches of Ukraine is carried out and the significant excess of receivables is noted. It is indicated that the management of the enterprise will be interested in information on: the amount, dynamics, composition and structure of its indebtedness; quality of debt; the reasons that caused the occurrence and existence of debt; the frequency of occurrence and repayment of debts; influence of debt on the financial condition of the enterprise; the expediency of investing in an enterprise's debt, etc. It is established that the purpose of analysis of receivables and accounts payable is to identify the amount of justified and unreasonable debt; changes for the analyzed period, the reality of receivable and amounts payables, reasons and the prescription of accounts receivable. In this regard, the analysis of receivables and accounts payables is an important part of the financial analysis at the enterprise and allows you to identify not only the indicators of current and prospective solvency of the enterprise, but also factors influencing their dynamics, as well as assess quantitative and qualitative tendencies in the financial state of enterprises in the future. It is determined that in the process of organization of debt analysis it is necessary to separately evaluate and study the availability, composition and structure of the company's debt, its frequency, quality and causes, including overdue. To study the composition and structure of the debt, its dynamics it is appropriate to make special analytical tables, graphs, drawings. In the course of the analysis it is also appropriate to compare the amounts of receivable and payables. According to the results of this comparison, the following factors can be identified: increase or decrease of receivables; increase or decrease in payables. It is stated that the management of receivable and accounts payables at the enterprise is the process of development and implementation of managerial decisions regarding the consistency of their size and speed of the movement in time, providing the necessary profit and optimal amount of available funds. The main components of the enterprise debt management system are presented in the article.

scholarly journals The Impact of Mandatory Use Of Rupiah Currency Towards Indonesia Trade Value Competitiveness and Economic Growth

2018 ◽  
Vol 1 (2) ◽  
pp. 335-347
Author(s):  
Tumpak Silalahi
Keyword(s):  
Economic Growth ◽  
Exchange Rate ◽  
Foreign Currency ◽  
Descriptive Analysis ◽  
Policy Measure ◽  
Economic Nationalism ◽  
Financial Condition ◽  
Circular Letter ◽  
The Impact ◽  
Mandatory Use

Volatility of Rupiah exchange rate to Foreign Currency in 2015 was indicated by Rupiah’s depreciation. The purpose of this paper is to see how the implementation of the mandatory use of Rupiah in Indonesia affected factors that caused its depreciation. In this paper, descriptive analysis and econometric analysis were used to demonstrate and explain the impact of some variables to the amount of money circulated in the market. Bank Indonesia Regulation Number: 17/3/PBI/2015 was issued on March 31, 2015 and Circular Letter Number: 17/11/DKSP was issued on June 1, 2015 that it requires mandatory on the use of Rupiah in Indonesia. The policy consists of economic, nationalism, and law perspectives. However, this paper focused only on the economic side with the main objective to see how it contributed to Rupiah’s stability. By analyzing the data quantitatively and qualitatively by using statistic procedure and simulation, this paper was able to show the effect of policy measure on the financial condition as an aggregate figure during the time of this research

scholarly journals INFLUENCE OF FINANCIAL INSTABILITY ON EXCHANGE RISKS OF PORT SECTOR ENTERPRISES

2019 ◽  
pp. 85-91
Author(s):  
Iryna Moskvichenko ◽  
Larysa Krysyuk ◽  
Tetiana Chebanova
Keyword(s):  
Economic Activity ◽  
Financial Management ◽  
Financial Stability ◽  
Foreign Currency ◽  
Active Role ◽  
Financial Instability ◽  
Financial Risks ◽  
Currency Risk ◽  
Financial Condition ◽  
Financial Management System

The increase of the degree of impact of financial risks on the results of operations and financial stability of the company is associated with a number of factors. They are the rapid volatility of the economic situation in the country and the financial market, the expansion of the sphere of financial relations of economic entities, the emergence of new financial technologies and tools, as well as a number of others factors. Therefore, the identification of the economic nature of financial risks and the establishment of their forms of influence on the results of the enterprise has become one of the most urgent tasks of the financial management system. In the context of financial instability, the problem of effective management of foreign exchange risks of the company becomes particularly relevant. This management plays an active role in the overall system of financial management, ensuring the reliable achievement of the main objectives of financial activity of the enterprise. The purpose of currency risks management is to ensure the financial security of the company in the process of its development and to prevent the possible reduction of its market value. Currency risk management can be divided into the following steps: awareness of the risk, determining the causes of its occurrence; measurement, analysis and risk assessment; reduction or limitation of risks by means of appropriate management methods; constant monitoring of the level of risk. In today's conditions, the further devaluation of the national currency, which in the past three years depreciated by 3.5 times in relation to the US dollar, one of the main tasks facing domestic subjects of foreign economic activity is the formation of effective tactics and strategies for managing currency risks. Activity of port operators, as subjects of foreign economic activity, is predisposed to financial instability and currency risk, which are caused by the variability of the environment of their functioning. Ukrainian ports, which investigate in imported equipment, plan to buy in foreign currency. The fluctuation of the exchange rate may contribute to both the improvement and the deterioration of the financial condition of the enterprise. Therefore, in the course of doing business, you must take into account the risks and apply appropriate methods of managing them. Financial instruments are the available tools for managing currency risk in enterprises. In this paper, hedging is considered as a way to reduce currency risk when purchasing equipment for a currency. In order to eliminate the effect of financial instability on currency risks of enterprises in the port industry, when purchasing equipment for currency, we suggest using a hedging instrument. This will either eliminate or partially neutralize the risk of possible losses.

Modern methods of risk management in banks’ lending to individuals

2020 ◽  
pp. 33-41
Author(s):  
Serhiy Stepanenko ◽  
Kateryna Ampilohova
Keyword(s):  
Risk Management ◽  
Foreign Currency ◽  
Cash Flows ◽  
Mortgage Lending ◽  
Financial Condition ◽  
Consumer Lending ◽  
Loan Risk ◽  
State Of Affairs ◽  
Key Events

The article is devoted to the substantiation of risk management methods of banks’ lending to individuals. Existing approaches to understanding the nature of consumer loan are considered. The classification of loans to individuals is provided. The paper proves that consumer lending should be considered in the context of the entities, object, currency, and principles. Consumer lending by its nature as a financial phenomenon refers to the provision of funds by the lender to individuals to obtain goods, works, or services, the acquisition of which meets the specific needs of consumers by redistributing cash flows in the present and future on the principles of maturity and payment. Consumer lending is a subtype of lending to individuals along with mortgage lending. The process of formation of consumer lending in Ukraine is considered: the main periods are identified and the key events and patterns that determine the current state of affairs in the consumer lending by banks are identified. The dynamics of lending to individuals is presented along with the total amount of loans granted. The nature of lending risk and its components are given. The loans are classified into 5 groups depending on the level of credit risk. The volumes of loan debt and loan risk are calculated for all groups: the largest volumes of loans issued to individuals account for the 1st and 5th groups. The amounts of loan debts and loan risk are calculated for all groups: the bulk of the debt is concentrated in the first group - that is, these are the most reliable loans, and the amount of loan risk is the largest in the fifth group. The analysis of the structure of foreign currency loans suggests that the 1st group is formed by new loans in the domestic currency issued to entities with a strong financial condition, and the 5th - old loans, most of which are issued in foreign currency, where debtors are characterized as unreliable with critical financial condition. The lending, operational, and country risks are the main risks of lending to individuals. The classification of risk management in lending to individuals is proposed. Methods of minimizing operational risk in the course of lending to individuals are considered.

scholarly journals УДОСКОНАЛЕННЯ ОБЛІКОВО-АУДИТОРСЬКИХ ПРОЦЕДУР ЩОДО ДЕБІТОРСЬКО-КРЕДИТОРСЬКОГО ЗАБЕЗПЕЧЕННЯ ПІДПРИЄМСТВ

2020 ◽  
pp. 52-59
Author(s):  
Г. С. Ліхоносова ◽  
С. П. Богомол
Keyword(s):  
Factor Analysis ◽  
Small Business ◽  
Economic Activity ◽  
Practical Significance ◽  
Practical Solution ◽  
Methodological Basis ◽  
Its Analysis ◽  
Financial Condition ◽  
Accounts Payable ◽  
Main Material

The article presents the author's opinion on the problem of non-payment, which is the main guarantee of small business. When there are receivables, there are also issues with accounts payable, as most companies do not have a planned profit for the goods, works, services provided. The purpose of the article is to identify current problems of accounting and auditing of receivables and payables, which require their practical solution. The object of the study is the receivables and payables, which were formed as a result of economic activity of the enterprise, its analysis and proposed ways to improve. The methods used in the study. The methodological basis of the study were the methods and principles of debt recognition, general and factor analysis of receivables and payables. The hypothesis of the study is the trend impact of receivables and payables on the financial condition and solvency of the enterprise. Presenting main material. Recommendations for improving the financial condition of the enterprise, for accounting and auditing of receivables and payables are offered. Originality and practical significance of the research. The study identified the need to improve the situation at the enterprise by implementing a number of measures aimed at eliminating problems with the payment of debtors who owed certain amounts of money, namely to provide discounts for early payment for products, goods, works, services, limit receivables -prepared for each debtor and maintaining a certain analytical document on creditors' relations in terms of each creditor. Conclusions. The study proves that the proposed methods of improvement are a factor that will reduce the level of receivables and payables. Based on the fact that the debtor's debt will not just decrease, but will bring some income.

scholarly journals DIAGNOSTICS OF THE ENTERPRISE’S FINANCIAL CONDITION DURING THE CRISIS

2021 ◽  
Author(s):  
Daria Yasynska ◽  
◽  
Olena Dobrovolska ◽  
Keyword(s):  
Economic Activity ◽  
Financial Stability ◽  
Economic Security ◽  
Working Capital ◽  
Systematic Calculation ◽  
Financial Condition ◽  
Normal Limits ◽  
Accounts Payable ◽  
Crisis Conditions

The paper reveals the essence of diagnostics of the financial condition of an agricultural enterprise during crisis and stipulates the necessity for its systematic implementation. As there are a lot of companies in Ukraine facing the crisis and as a consequence go bankrupt, which in turn negatively affects the dynamics of repayment of accounts payable, it is extremely important to study the financial condition of the company, dynamics of its payables and receivables in order to find the best ways to overcome the crisis and the normalize its economic activity. The article offers economic proposals for stabilizing the economic activity of the enterprise during the crisis. The article also proposes the systematic calculation of the enterprise’s liquidity and keep to these indicators within the normal limits. In its turn, there are several levels of financial security of the enterprise: absolute (the enterprise has sufficient working capital for operation); normal (the enterprise has enough funds to buy inventory and cover costs); satisfactory (the enterprise does not have enough working capital and it resorts to medium-term or long-term liabilities); critical (the company uses long-term loans to finance its activity) and crisis (the company is unable to meet its obligations). The financial condition and financial and economic activity of the enterprise is assessed by its solvency. Solvency acts as an external sign of financial stability, the essence of which is the security of current assets by long-term sources of formation. The success of the enterprise depends on the analysis of risks of threats to the management of financial and economic security of the business entity and leveling and consolidation of efforts in times of crisis. Thus, by analyzing the financial and economic activity of the enterprise, you can determine the dynamics of changes in economic performance. Control of financial and economic security of the enterprise will allow to carry out economic activity at a normal level and in case of deterioration to predict and prevent the onset of crisis conditions that can lead to bankruptcy.

scholarly journals Analysis of the organizations accounts payable of the Kalmykia Republic

2018 ◽  
Vol 80 (2) ◽  
pp. 351-357
Author(s):  
M. P. Sarunova ◽  
T. V. Burlutkin ◽  
T. Z. Sandzhieva
Keyword(s):  
Financial Stability ◽  
Financial Analysis ◽  
Dynamic Changes ◽  
Accounts Receivable ◽  
Financial Condition ◽  
Accounts Payable ◽  
The Status ◽  
The Republic ◽  
Further Development

The article shows the organizationsaccounts payableof the Republic of Kalmykia as one of the most important elements of financial analysis as a separate organization, industry and the whole region. The dynamic changes in accounts payable on the basis of statistical datawere analyzed. It was revealed that the vast majority of overdue accounts payable was formed in housing and communal services. We carried outthe structural analysis of overdue debt composition and revealed the ways of its control. In order to identify the most "vulnerable" areas of economic activity from non-payment, the share of overdue debt to the total amount of debt by industry was considered. To assess the timeliness of payments of enterprises on obligations and the quality of accounts payable, we performed the analysis of the share of overdue accounts payable in its total volume. On thatbasiswe found out the approaches to optimizing the management of accounts payable, leading to the growth of financial results and further development of the economy of the Republic of Kalmykia. To analyze financial stability, it is important to consider not only the status of accounts payable, but also the ratio of accounts receivable to accounts payable. The analysis showed that the proportion is irrational; it is obvious that companies have attracted significant borrowed resources, but currently use of them in their current activitiesinefficient. The article concludes that the financial situation of enterprises and organizations of the region is extremely unstable when there is an annual growth of accounts payable and accounts receivable. In order to stabilize the financial condition of enterprises and organizations of the Republic of Kalmykia, improve their solvency and strengthen the settlement and payment discipline we explored the possibility of restructuring of accounts payable, which requires an analysis of each creditor separately, including all components of the debt-principal amount, interest and penalties.

scholarly journals OPTIMIZATION OF SETTLEMENTS WITH SUPPLIERS AND CONTRACTORS OF ENTERPRISES

2020 ◽  
Author(s):  
Yuliia Prymush ◽  
◽  
Yevheniia Holovchenko ◽  
Keyword(s):  
Production Efficiency ◽  
Raw Materials ◽  
Complete Information ◽  
Joint Stock Company ◽  
Negative Consequences ◽  
Economic Activities ◽  
Stock Company ◽  
Accounting Data ◽  
Financial Condition ◽  
Accounts Payable

Currently, not a single organization can operate without accounting, regard-less of departmental affiliation and ownership. The raison is that only accounting data provide complete information about the property and financial condition of the organization. Synthetic and analytical information on the state of material, la-bour and monetary resources, the effectiveness of investment and credit policy, costs and production efficiency allows you to manage business activities and monitor the implementation of profit plans, develop long-term plans for production development. An important part of accounting is the accounting of settlements with suppliers and contractors, settlements with buyers and customers. In the course of economic activity, organizations constantly conduct settlements with suppliers for the fixed assets, raw materials, materials and inventory items, the executed works and the rendered services; with buyers – for the goods bought by them, finished goods; with credit institutions on loans, credits and other financial transactions; with the budget and tax authorities – on various payments; with other bodies and persons – for various business transactions. In a market economy, the risk of non-payment or late payment of bills increases, which leads to receivables and payables. Part of this debt in the process of financial and economic activities is inevitable and must be controlled within acceptable values. Overdue accounts payable indicate violations of financial and payment discipline by buyers, suppliers, and customers, which requires immediate action to eliminate the negative consequences. Timely application of these measures is possible only when the company carries out systematic control. This article considers the economic essence of settlements with suppliers and contractors as part of the obligations of the enterprise, their definition, recognition, classification, and evaluation in accounting. The legislative and normative regulation of accounting of settlements with suppliers and contractors is singled out. The final stage of this work is the presentation of ways to improve settlements with suppliers and contractors on the example of the company Public Joint Stock Company "ArcelorMittal Kryvyi Rih".

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