What is the relationship management accounting and economic analysis?

Economic analysis is not only the most important component of any of the management functions, but is itself a type of management activity that precedes the adoption management decisionsaimed at sustainable business development of the organization. Thus, economic analysis takes an intermediate place between the selection of information and the decision-making process and, depending on the nature of the decision being made, uses the appropriate methods.

What is the subject and objects of economic analysis?

The subject of economic analysis is the reasons for changes in economic results and their deviations from the target parameters. Cognition of causal relationships in economic activity enterprises allows you to reveal the essence of the processes taking place in it and, on this basis, give a correct assessment of the results achieved in the current situation, identify reserves for increasing work efficiency, justify plans and management decisions aimed at achieving the set goals.

List the tasks of economic analysis.

1. Establishing patterns and trends in economic indicators in the specific conditions of the enterprise.

2. Evaluation of the results of the enterprise on the basis of an objective and comprehensive study of accounting and reporting information.

3. Scientific substantiation of current and long-term plans for the development of the enterprise

4. Monitoring the implementation of planned targets and the use of production resources.

5. Identification and measurement of internal reserves of the efficiency of the enterprise at all stages of the production process.

6. Development of measures for the use of production reserves.

7. Making optimal management decisions to improve the enterprise.

4. What is the content of the analysis and diagnostics of economic activities? The content of the analysis of financial and economic activities consists in a comprehensive study of the technical level of production, the quality and competitiveness of products, the supply of materials, labor and financial resources and the efficiency of their use. This analysis is based on systematic approach, complex accounting of various factors, high-quality selection of reliable information and is an important management function.

The essence of diagnostics of the financial and economic activities of an enterprise is to establish and study signs, measure the main characteristics that reflect the state of machines, devices, technical systems, economics and finance of an economic entity, to predict possible deviations from stable, average, standard values \u200b\u200band prevent violations of normal operation

5. Describe the relationship between the main economic indicators as the basis for a comprehensive analysis.

objects, purpose and objectives of the analysis, a plan of analytical work is drawn up; a system of synthetic and analytical indicators is being developed, with the help of which

the object of analysis is characterized;

the necessary information is collected and prepared for analysis;

comparison of actual results of management with the indicators of the plan of the reporting year, actual data of previous years, with the achievements of leading enterprises, industry, etc .;

factor analysis: factors are identified and their influence on the result is determined;

unused and promising reserves for increasing production efficiency are revealed; assessment of business results, taking into account the action of various factors and identified

unused reserves, measures for their use are being developed.

6. List the tasks of analytical research on the topics of complex economic analysis of economic activity. General:

1. Assessment of the quality, validity and reliability of plans and standards.

2. Determination of baselines for planning for the coming period.

3. Monitoring the implementation of plans and assessment of their implementation. It also provides an assessment of the effectiveness of the use of material, labor and financial resources.

4. Determination of the influence of individual factors and their quantitative assessment. Allocation and measurement of the influence of internal (depending on the activities of the enterprise) and external (industry) factors.

5. Revealing the reserves of production efficiency growth.

6. Justification of management decisions and their optimization.

7.objective assessment financial condition business entity, its solvency, financial sustainability and business activity.

8. Identifying opportunities to increase equity capital, net assets, stock returns and improve the use of borrowed funds.

9. forecasting financial results, potential threat of bankruptcy.

Specific:

Selection of partners based on information published about them;

Assessment and verification (due diligence) of the acquired organization (business);

Development of a methodology for analyzing the effectiveness of M&A transactions (mergers and acquisitions), determining the synergistic effect;

Improving the methodology of economic analysis taking into account international experience and restructuring accounting and reporting on international standards;

Development of methods for analyzing the effectiveness of investing financial resources in real and portfolio investment;

Improvement of methods for analyzing the quality, reliability of products, their competitiveness in the domestic and foreign markets;

Analysis of the organization's capitalization and business growth potential;

Development of methods of social, regional analysis, environmental protection;

Analysis of the effectiveness of outsourcing implementation;

Development of non-traditional types of analysis: continuous, multivariate, strategic, diagnostic.

Run test

1. The fundamental principles of the method of economic analysis do not reflect the following feature of dialectics:

a) the unity of analysis and synthesis;

b) the study of economic phenomena in their relationship;

c) study of economic phenomena in development, in dynamics;

d) unity and struggle of opposites.

2. The mathematical equation Y \u003d reflecting the relationship of the effective indicator with several factor indicators, refers to the type of ... factor models. Additive

3. The economic and mathematical methods of analysis include:

and) operations research method:

b) trend analysis;

c) coefficient analysis;

d) horizontal analysis.

4. The method of their transformation (modeling) is not applied to the class of multiple deterministic factor models:

a) lengthening the factor system;

b) expansion of the factor system;

c) reduction of the factor system;

d) bifurcation of the factor system.

5. To determine the correspondence of individual costs at an enterprise to socially necessary ones, its organizational and technical level and a place in a number of enterprises of similar production specialization allows:

a) comparison of reported indicators with indicators of previous periods;

b) inter-farm comparison;

in) comparison with industry average data;

d) comparison of the performance of the enterprise with the average performance of the market economy.

6. Method chain substitutions... consists in obtaining a number of intermediate values \u200b\u200bof the effective indicator by sequentially replacing the basic (planned) values \u200b\u200bof the factors with actual ones, followed by comparing the value of the effective indicator before and after changing the level of the factor under study.

7. The mathematical equation Y \u003d, reflecting the relationship of the effective indicator with several factor indicators, belongs to the type .. mixed... factor models.

8. ..Vertical... analysis involves the determination of the structure of the final indicators of the financial statements with the identification of the influence of each position on the result as a whole

9. The horizontal (temporary) method of financial analysis involves:

a) determination of the structure of the final indicators of the financial statements with the identification of the influence of each position on the result;

b) identification of the main trend in the dynamics of the indicator, cleared of random influences and features of individual periods;

c) comparison of each reporting item with the previous period with the identification of absolute and relative deviations;

d) comparison of the firm's performance with the performance of competing firms, with the industry average and general economic performance.

10. When using the method. absolute differences. the magnitude of the influence of factors is calculated by multiplying the absolute increase in the value of the investigated factor by the base (planned) value of the factors that are located to the right of it in the model, and by the actual value of the factors located in the model to the left of it.

11. Integral… .. the method is based on summing the increments of a function defined as a partial derivative multiplied by the increment of the argument at infinitesimal intervals.

12. .Index Analysis.. are relative indicators of comparison of phenomena consisting of elements that cannot be directly summed up:

a) indices;

b) financial ratios:

c) interest;

d) average values.

13. The mathematical equation Y \u003d, reflecting the relationship of the effective indicator with several factor indicators, belongs to the type. multiples.. factorial models.

14. ... methods of economic analysis of economic activity are based on the use professional knowledge, experience and intuition of the analyst:

and) heuristic;

b) economic and mathematical;

c) factorial;

d) statistical.

15. The method of a comprehensive assessment of the effectiveness of economic activity, which involves assigning each indicator and its increment of a weight coefficient on a certain scale, is called the method:

b) scoring;

c) an increase in the total resource;

d) financial ratios.

16. A method that involves comparing each reporting item with a number of previous periods and determining the main trend in the dynamics of the indicator, cleared of random influences and characteristics of individual periods, is called. horizontal (temporary) .. analysis.

17. To identify the reasons for the deviation of the actual values \u200b\u200bof individual indicators from their predicted levels, a comparison is used:

and) reporting indicators with planned indicators;

b) reporting indicators with indicators of previous periods;

c) indicators of the enterprise with similar industry average data;

d) indicators of an enterprise with average indicators of a market economy.

18. The method of analysis in which the effect of a number of factors on the effective indicator is excluded and one of them is highlighted is called:

a) rows of dynamics;

b) elimination;

c) detailing;

d) balance links.

19. The method of analysis, involving the comparison of homogeneous objects to find features of similarity or differences between them, is called:

a) graphic;

b) factorial:

c) selective and continuous observation;

d) comparison.

20. The economic and mathematical methods of analysis include:

and) calculus of variations;

b) trend analysis;

c) factor analysis;

d) vertical analysis.

21. Assessment of the dynamics of financial indicators is carried out using the method:

a) vertical analysis;

b) horizontal analysis;

c) financial ratios;

d) comparative analysis.

22. The calculation of relative indicators according to financial statements, reflecting intra-balance relationships or relationships between indicators of several forms of reporting, is carried out on the basis of the method:

a) economic and mathematical analysis;

b) financial ratios;

c) comparative (spatial) analysis;

d) factor analysis.

23. Mathematical equation Y \u003d (a + b) / c, reflecting the relationship of the effective indicator with several factor indicators, belongs to the type ... factor models:

a) additive;

b) multiplicative;

c) multiples;

d) mixed (combined).

24. Average... magnitude expresses a distinctive feature of a given set of phenomena, establishes the most typical features of this set.

25. factorial... analysis examines the influence of baseline values \u200b\u200bon performance indicators using deterministic research techniques.

26. To identify trends in the development of an enterprise and the dynamics of the main parameters of its economic and financial situation, the following is used:

a) comparison of reported indicators with planned indicators;

b) comparison of reported indicators with indicators of previous periods;

c) inter-farm comparison;

d) comparison with the industry average data.

27. Economic and mathematical methods of analysis do not include methods:

a) elementary mathematics;

3) b) mathematical programming;

c) operations research;

d) elimination.

28. Mathematical equation Y \u003d , reflecting the relationship of an effective indicator with several factor indicators, belongs to the type .. multiplicative... factor models.

29. Methods ... allow you to give comprehensive assessment financial condition of the enterprise:

a) mathematical statistics;

in) deterministic factor analysis;

d) mathematical programming.

30. The standard techniques (methods) of the analysis of financial statements include ... analysis:

a) regression;

b) correlation;

in) horizontal;

d) differential.

It is a process of researching the financial condition and the main results of the financial activity of an enterprise in order to identify reserves for increasing its market value and ensuring further effective development.

The results of financial analysis are the basis for making management decisions, developing a strategy further development enterprises. Therefore, financial analysis is an integral part, its most important component.

Basic methods and types of financial analysis

There are six main methods of financial analysis:

• horizontal(temporal) analysis - comparison of each reporting item with the previous period;
• vertical(structural) analysis - identification of the proportion of individual articles in the final indicator, taken as 100%;
• trend analysis - comparison of each reporting item with a number of previous periods and determination of the trend, i.e. the main trend of the indicator dynamics, cleared of random influences and individual characteristics of individual periods. With the help of the trend, the possible values \u200b\u200bof indicators in the future are formed, and therefore, a prospective forecast analysis is carried out;
• analysis of relative performance (ratios) - calculation of ratios between individual reporting items, determination of the relationship of indicators;
• comparative (spatial) analysis - on the one hand, this is an analysis of the reporting indicators of subsidiaries, structural units, on the other hand, a comparative analysis with the indicators of competitors, industry average indicators, etc .;
• factor analysis - analysis of the influence of individual factors (causes) on the resulting indicator. Moreover, factor analysis can be either direct (analysis itself), when the resulting indicator is divided into its component parts, or inverse (synthesis), when its individual elements are combined into a common indicator.

The main methods of financial analysis carried out at the enterprise:

Vertical (structural) analysis - determining the structure of the final financial indicators (the amounts for individual items are taken as a percentage of the balance sheet currency) and identifying the impact of each of them on the overall result of economic activity. The transition to relative indicators allows for inter-farm comparisons of the economic potential and performance of enterprises that differ in the amount of resources used, and also smoothes negative influence inflationary processes that distort absolute indicators.

Horizontal (dynamic) analysis based on the study of the dynamics of individual financial indicators over time.

Dynamic analysis is the next step after financial performance analysis (vertical analysis). At this stage, it is determined for which sections and balance sheet items there have been changes.

The analysis of financial ratios is based on the calculation of the ratio of various absolute indicators of financial activity among themselves. The source of information is the company's financial statements.

1. Turnover indicators (business activity).
2. Market activity indicators

When analyzing financial ratios, the following points should be kept in mind:

• the value of financial ratios is greatly influenced by the accounting policy of the enterprise;
• diversification of activities complicates the comparative analysis of the coefficients by industry, since the standard values \u200b\u200bcan vary significantly for different industries;
• the normative coefficients chosen as a basis for comparison may not be optimal and may not correspond to the short-term objectives of the period under consideration.

Comparative financial analysis is based on comparing the values \u200b\u200bof individual groups of similar indicators with each other:

• indicators of a given enterprise and industry average indicators;
• financial indicators of the given enterprise and indicators of competing enterprises;
• financial indicators of individual structural units and divisions of the enterprise;
• comparative analysis of reporting and planned indicators.

Integral () financial analysis allows you to get the most in-depth assessment of the financial condition of the enterprise.

The financial analysis is a process of researching the financial condition and the main results of the financial activity of an enterprise in order to identify reserves for increasing its market value and ensuring further effective development.

The results of financial analysis are the basis for making management decisions, developing a strategy for the further development of the enterprise. Therefore, financial analysis is an integral part of financial management, its most important component.

Basic methods and types of financial analysis

There are six main methods of financial analysis:

· Horizontal (time) analysis - comparison of each reporting item with the previous period;

· Vertical (structural) analysis - identifying the proportion of individual articles in the final indicator, taken as 100%;

· Trend analysis - comparison of each reporting item with a number of previous periods and determination of the trend, i.e., the main trend of the indicator dynamics, cleared of random influences and individual characteristics of individual periods. With the help of the trend, the possible values \u200b\u200bof indicators in the future are formed, and therefore, a prospective forecast analysis is carried out;

· Analysis of relative indicators (ratios) - calculating the relationship between individual items of reporting, determining the relationship of indicators;

· Comparative (spatial) analysis - on the one hand, it is an analysis of the reporting indicators of subsidiaries, structural divisions, on the other hand, a comparative analysis with the indicators of competitors, average industry indicators, etc .;

· Factor analysis - analysis of the influence of individual factors (causes) on the resulting indicator. Moreover, factor analysis can be either direct (analysis itself), when the resulting indicator is divided into its component parts, or inverse (synthesis), when its individual elements are combined into a common indicator.

The main methods of financial analysis carried out at the enterprise:

Vertical (structural) analysis - determining the structure of the final financial indicators (the amounts for individual items are taken as a percentage of the balance sheet currency) and identifying the impact of each of them on the overall result of economic activity. The transition to relative indicators allows for inter-farm comparisons of the economic potential and performance of enterprises that differ in the amount of resources used, and also smoothes the negative impact of inflationary processes that distort the absolute indicators of financial statements.

Horizontal (dynamic) analysis is based on the study of the dynamics of individual financial indicators over time.

Dynamic analysis is the next step after financial performance analysis (vertical analysis). At this stage, it is determined for which sections and balance sheet items there have been changes.

The analysis of financial ratios is based on the calculation of the ratio of various absolute indicators of financial activity among themselves. The source of information is the company's financial statements.

The most important groups of financial indicators:

· Indicators of liquidity.

· Indicators of financial stability and solvency.

· Indicators of profitability.

· Indicators of turnover (business activity).

Market activity indicators

When analyzing financial ratios, the following points should be kept in mind:

· The value of financial ratios is greatly influenced by the accounting policy of the enterprise;

· Diversification of activities complicates the comparative analysis of the coefficients by industry, since the standard values \u200b\u200bcan vary significantly for different industries;

· Normative coefficients selected as a basis for comparison may not be optimal and may not correspond to the short-term objectives of the period under consideration.

Comparative financial analysis is based on comparing the values \u200b\u200bof individual groups of similar indicators with each other:

· Indicators of this enterprise and industry average indicators;

· Financial indicators of this enterprise and indicators of competing enterprises;

· Financial indicators of individual structural units and divisions of the enterprise;

· Comparative analysis of reporting and planned indicators.

Integral (factor) financial analysis allows you to get the most in-depth assessment of the financial condition of the enterprise.

Financial stability analysis... These indicators are used to assess the composition of funding sources and the dynamics of the ratio between them. The analysis is based on the fact that sources of funds differ in the level of cost price, degree of availability, level of reliability, degree of risk, etc.

Profitability analysis... Indicators of this group are intended to assess the overall efficiency of investment in a given enterprise. Unlike the indicators of the second group, here they abstract not from specific types of assets, but analyze the return on capital as a whole. The main indicators are therefore the return on capital advanced and the return on equity.

Analysis of the situation and activity in the capital market... As part of this analysis, space-time comparisons of indicators characterizing the position of an enterprise in the securities market are performed: dividend yield, earnings per share, share value, etc. This fragment of the analysis is performed mainly in companies registered on stock exchanges and selling their shares there. ... Any enterprise with temporarily vacant cash and wanting to invest them in securities, also focuses on the indicators of this group.

It should be said that the procedural part of the methodology for the analysis of financial and economic activity is regulated by a number of principles:

• consistency;
• complexity;
• the unity of the information base;
• materiality;
• consistency of analytical procedure schemes;
• comparability of results;
• purposefulness.

Conducting an effective financial analysis of the activities of an economic entity involves the development of a system of consistently implemented measures on the basis of uniform principles that subordinate all elements of the system and allow providing a strictly defined circle of users with the most relevant information at the moment.

Financial analysis Bocharov Vladimir Vladimirovich

1.4. Financial analysis methods

The key goal of financial analysis is to obtain a certain number of basic (most informative) indicators that give an objective picture of the financial condition of the enterprise:

? changes in the structure of assets and liabilities;

? dynamics of settlements with debtors and creditors;

? the amount of profit and loss and the level of return on assets and sales.

In this case, the analyst and the manager (manager) may be interested in both the current financial position of the enterprise and its forecast for the near future.

The initial basis for financial analysis is accounting and reporting data, the study of which helps to restore all key aspects commercial activities and performed operations in a generalized form, that is, with the degree of aggregation necessary for the analyst.

The practice has developed the main methods of financial analysis, among which the following can be distinguished:

? horizontal analysis;

? vertical analysis;

? trend analysis;

? comparative (spatial) analysis;

? factor analysis;

? method of financial ratios.

Horizontal (time) analysis consists in comparing the indicators of the financial statements with the indicators of previous periods. The most common horizontal analysis techniques are:

? easy comparison of reporting items and study of their dramatic changes;

? analysis of changes in reporting items in comparison with fluctuations in other items.

At the same time, special attention is paid to cases when a change in one indicator by economic nature does not correspond to a change in another indicator.

Vertical analysis is carried out in order to determine the proportion of individual balance sheet items in the overall final indicator and then compare the result with the data of the previous period.

Trend analysis is based on calculating the relative deviations of reporting indicators for a number of periods (quarters, years) from the level of the base period. With the help of the trend, possible values \u200b\u200bof indicators in the future are formed, that is, predictive analysis is carried out.

Comparative (spatial) analysis is carried out on the basis of on-farm comparison of both individual indicators of the enterprise and inter-farm indicators of similar competing firms.

Factor analysis is the process of studying the influence of individual factors (causes) on an effective indicator using deterministic or stochastic research techniques. In this case, factor analysis can be both direct (analysis itself) and reverse (synthesis). With the direct method of analysis, the effective indicator is divided into its component parts, and with the opposite method, the individual elements are combined into a common effective indicator.

An example of factor analysis is DuPont's three-factor model, which allows you to study the reasons that affect the change in net income on equity:

CP SC \u003d CP / SC \u003d (CP / BP)? (BP / A)? (A / CK), (1)

where NP SK - net return on equity (percentage or unit shares); PE - net (retained) profit for the billing period; SK - equity as of the last reporting date (section III of the balance sheet); BP - revenue from product sales (excluding indirect taxes); A - assets as of the last reporting date.

If, as a result of the analysis of financial statements, it is established that the net profit attributable to equity capital has decreased, then it becomes clear due to what factor this happened:

1) decrease in net profit for each ruble of proceeds from sales;

2) less effective management assets (slowing down their turnover), which leads to a decrease in sales proceeds;

3) changes in the structure of advanced capital (financial leverage).

Let's take a digital example. Data for the first quarter of the reporting year: net profit - 9 million rubles; sales proceeds - 60 million; assets - 120 million; equity capital - RUB 30 million Data for the second quarter of the reporting year: net profit - 9.9 million rubles; sales proceeds - 63.6 million; assets - 126 million; equity capital - RUB 30 million

PE SK1 \u003d (9/60)? (60/120)? (120/30)? 100 \u003d 30%

CP CK2 \u003d (9.9 / 63.6)? (63.6 / 126.0)? (126.0 / 30.0)? 100 \u003d 33%

1. As a result of the increase in net profit, the net profitability of equity capital increased by 1.14% (31.14–30.0):

(9,9/63,6) ? (60/120) ? (120/30) ? 100= 31,14 %

2. As a result of the accelerated asset turnover, the net profitability of equity capital increased by 0.3% (30.3 - 30.0):

(9/120) ? (63,6/126,0) ? (120/30) ? 100= 30,3 %

3. As a result of the improvement in the capital structure, an increase in the net profitability of equity was obtained by 1.5% (31.5 - 30.0):

(9/120) ? (60/120) ? (126/30) ? 100= 31,5 %

4. The concomitant effect of the three factors is: 1.14 + 0.3 + 1.5 \u003d 2.94% or about 3% (33–30).

The method of chain substitutions was used for the calculation.

The analysis of the indicator of net profit attributable to equity capital is used when deciding how an enterprise can increase its assets in the future without an increase in the attracted capital of loans and borrowings, i.e.:

1) when choosing a rational capital structure;

2) when deciding on investments in fixed and working capital.

The method of financial ratios is the calculation of the relationship of the accounting data, the determination of the relationship of indicators. When conducting the analysis, the following factors should be taken into account: the effectiveness of the planning methods used, the reliability of financial statements, the use of various accounting methods (accounting policies), the level of diversification of other enterprises, the static nature of the coefficients used.

In the practice of Western corporations (USA, Canada, Great Britain), the following three coefficients are most widespread: ROA, ROE, [email protected]@C.

Profit attributable to total assets (ROA) \u003d (Net Income + Interest? (1 - tax rate)) / Total assets? 100 (2)

This indicator reflects how much the company earned on the total assets formed from its own and attracted sources. ROA is often used by senior management to measure the performance of individual business units. The divisional manager has significant influence over assets, but cannot control their financing, since the branch of the company does not take bank loans, does not issue shares or bonds, and in many cases does not pay its own bills (for current obligations).

Return on Equity (ROE) \u003d Net Income / Equity? 100 (3)

This ratio shows how much was earned on the funds invested by the shareholders (either directly or with the help of retained earnings). The ROE is of interest to existing or potential shareholders, as well as to the management of the company in order to best take into account the interests of shareholders. However, for branch managers, this ratio is not of particular interest, since they are obliged to effectively manage assets regardless of the role of shareholders and creditors in financing these assets.

Invested capital, also called fixed capital, is the sum of long-term liabilities (loans and borrowings) and share capital. Therefore, it expresses the monetary resources that have been in the company's turnover for a long time. It is assumed that short-term liabilities tend to fluctuate automatically associated with changes in current assets.

Return on Investment Capital (RO? C) \u003d (Net Income + Interest? (1 - tax rate)) / (Long-term Liabilities + Share Capital)? 100% (4)

The invested capital is also equal to the circulating (working) capital plus fixed capital. This fact indicates that the owners and long-term lenders should finance the property and equipment of the company, other long-term assets and that part of current assets that is not recovered from short-term liabilities.

Individual firms often use RO? C to measure the performance of their affiliates, often referring to it as return on capital employed (ROCE) or “ net assets"(Assets less current liabilities). This parameter applicable only in cases where the management of the branch has an important influence on decisions on the acquisition of assets, on credit policy (accounts receivable), on cash management and the level of its short-term liabilities.

The return on invested capital is equal to the net profit divided by the investment. RO coefficient? can be viewed as the combined result of two factors: return on sales and use of investment.

(Net Income / Investment (RO?)) \u003d (Net Income / Sales Volume)? (Sales volume / Investment)

Each of the two terms on the right side of the equation has its own specific economic meaning. Net profit divided by sales is the economic return on goods sold (ROS).

The second indicator - sales divided by investments - characterizes the turnover of the latter.

These two relationships show two main ways to improve this indicator (RO?). First, it can be done by raising the rate of return. Secondly, this indicator can be improved by increasing the investment turnover. In turn, the turnover of the latter can be increased either by increasing the volume of sales, keeping the amount of investment unchanged, or by reducing the amount of investment required to maintain a given value.

In addition to wanting a satisfactory rate of return, investors want their capital to be protected from financial risk. Return on equity (ROE) could be improved if additional investment in new projects was achieved solely through debt obligations. Provided, of course, that the return on these additional investments must exceed the cost of paying interest on these obligations.

However, such an investment policy would increase the risk of shareholders losing their investments, since interest and principal payments are fixed and failure to pay them will inevitably lead the company to bankruptcy. The degree of risk in each case can be measured by the relative amounts of liabilities and share capital and funds allocated to repay the liabilities. This analysis also requires the use of financial ratios.

The indicators shown in this table can be used by external users of financial statements, such as investors, shareholders and creditors. For preliminary assessment the financial condition of the enterprise, the above indicators should be divided into two groups that have qualitative differences among themselves.

The first group includes indicators for which standard values \u200b\u200bare determined. These include indicators of liquidity and financial stability. At the same time, both a decrease in the values \u200b\u200bof parameters below the normative ones, and an excess, as well as their movement in one of the above directions, should be interpreted as a deterioration in the financial condition of the enterprise.

The second group includes non-standardized indicators, which are usually compared in dynamics over a number of periods or with the values \u200b\u200bof the same indicators at similar enterprises. This group includes indicators of profitability and turnover of assets and equity, the structure of property and capital, etc.

For this group of indicators, it is advisable to rely on the study of trends in indicators and to establish their improvement or deterioration.

The complexity of the current situation in Russia lies in the fact that at many enterprises the accounting service employees do not have sufficient knowledge of financial analysis methods, and the specialists who own them do not have time (due to the workload of their main work) to read and analyze the documents of analytical and synthetic accounting.

In this regard, it is advisable for enterprises to single out a service (a group of specialists) that analyzes the financial and economic situation. The main tasks of this service can be:

1) development of input and output analytical forms with indicators of liquidity, financial stability, business and market activity. The accounting service fills out these forms as often as is appropriate to support the work of the financial service of the enterprise;

2) periodic (monthly, quarterly, annual) compilation of explanatory notes to the output forms with calculations of the main analytical indicators and deviations from planned, normative, industry average values.

An approximate functional diagram of the relationships for the implementation of the financial and economic analysis of the enterprise is shown in Fig. 1.3.

Figure: 1.3.An approximate functional diagram of relationships for conducting financial / economic analysis (according to the recommendations of the Ministry of Economy of the Russian Federation)

Based on the results of financial and economic analysis, the financial policy of the enterprise for the coming period (quarter, year) can be formulated. In particular, a decision may be made to restructure property complex (sale of unused tangible assets, renewal of heavily depreciated fixed assets, revaluation of fixed assets, taking into account their market value, change in the mechanism for calculating depreciation, etc.). The decisions made by the management of the enterprise should be aimed at increasing its profitability, market value and business activity.