Policies to improve financial sustainability. Course work: Ways to increase the financial stability of an enterprise. Analysis of the financial condition and stability of the organization OJSC Kurgandormash

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1.3 Ways to increase the financial stability of an enterprise

First of all, competent implementation of financial analysis. When using personal computers, it became possible to create operational and other economic indicators economic activity enterprises where initial information arises and these indicators are needed. As a result, the length of information flows is significantly reduced, and the likelihood of errors during data transmission and processing is reduced. Performance, technical capabilities Modern computers make it possible to analyze economic activities of almost all economic and other information entered into the computer’s memory and ensure continuity of analysis as input data is entered into them. The use of modern PCs and functional packages of modern application programs in economic management allows, without the help of a programmer, to create layouts of analytical tables with the required content, organize databases according to specified rules and criteria, use business graphics, etc.

Packages of modern applied financial analysis programs provide a comprehensive and in-depth study of the effect of various factors on income, profit, solvency, and financial stability of an enterprise. The results of such analysis, carried out using a modern computer, help optimize the sale of goods, distribution costs, income, profit, profitability, and the use of economic potential.

Careful detailed financial planning makes it possible to determine reasonable core (operational), investment and financial activities enterprises, movement Money received from entrepreneurship. One of the main directions financial planning is to draw up a forecast (plan) of income, expenses, profit and profitability.

Based on the results of financial analysis, to increase the financial stability of an enterprise it is necessary:

Acceleration of turnover working capital, i.e. It is necessary to take measures to quickly sell goods and reduce the duration of one turnover. This can be achieved with well-established relationships with suppliers and buyers, competent choice of price and marketing strategies. An important indicator in this case is the level inventory. In case of a crisis and unstable financial condition, a reasonable reduction in the level of inventory makes it possible to restore the financial stability of the enterprise. A decrease in inventory levels occurs as a result of planning inventory balances, as well as the sale of unused inventory items. An in-depth analysis of stock status is an integral part of internal analysis financial condition, since it involves the use of information about reserves not contained in financial statements and requiring analytical accounting data.

Replenishment of sources of reserve formation and optimization of their structure. The most risk-free way to replenish the sources of reserve formation should be recognized as increasing the real equity due to accumulation retained earnings or through the distribution of after-tax profits to accumulation funds, subject to the growth of the part of these funds not invested outside current assets.

If there is a large share of accounts receivable in the balance sheet currency, it is necessary to analyze it over time by type and amount, using current accounting and reporting data. To prevent losses, an enterprise must keep records of overdue debts (for each debtor) according to the time of their occurrence. Reducing accounts receivable can be facilitated by reviewing the terms and amounts of customer credit, providing discounts for prepayment (full or partial), timely filing of claims for collection of overdue debt, etc.

II Analysis of the financial stability of LLC "AVTOPOISK"

2.1 Characteristics of LLC "AUTOPOISK" as an entity entrepreneurial activity.

LLC "AUTOPOISK" is located at: Minsk, st. Filimonova, 57a. The premises are rented from the Branch of the Minsk City Trade Union Club and occupy an area of 211 sq.m. along with warehouses. Located in the center of the city. Such a favorable location can provide the company with a more or less permanent clientele, which allows it to plan the company’s activities and establish trusting relationships with clients. The company has 13 people on staff.

The main activity of AVTOPOISK LLC is the wholesale sale of auto parts for passenger cars. foreign production. The products of AUTOPOSIK LLC differ from those on the market in quality, design and affordable prices. The society is engaged wholesale auto parts for foreign cars.

Organized by LLC "AVTOPOISK" on July 1, 1996. It developed at an average pace. Has a license to carry out cargo transportation by car for the Republic of Belarus.

LLC "AVTOPOISK" offers a wide range of automotive parts: shock absorbers, ball joints, tie rod ends, levers, bearings, silent blocks, water pumps, belts and other parts for cars from well-known manufacturers such as "FEBI", "OPTIMAL", "AJUST" , "DAYCO", "FTH", "KAYABA", "RUVILLE", "SFEC".

The Company works with suppliers who have long established themselves as reliable partners who always supply quality goods in the right quantity and on time. LLC "AVTOPOISK" is the first supplier and importer in the territory of the Republic of Belarus.

The plans of society are diverse, but they are all subordinated to the same goal of expanding the sales market and maximizing profit.

2.2 Overall rating assets of LLC "AVTOPOISK" and its capital structure.

Analysis of the financial stability of an enterprise usually begins with a general familiarization with assets and their sources (equity and debt capital), using data balance sheet, other forms of reporting and current accounting. When carrying out the analysis, the dynamics, relationships and interdependencies between indicators characterizing the financial condition of the enterprise are studied.

One of the main methods of analyzing the financial condition of an enterprise is to study the data of the balance sheet and other forms of reporting, which allows you to assess the nature of changes in the total balance sheet, its individual sections and articles, the correctness of the placement of funds, the main sources of their formation, etc.

According to the balance sheet of LLC AVTOPOISK (see Appendix), for the reporting year 2005 the balance sheet currency increased by 39,020 thousand rubles. or by 41%. Wherein:

– current assets increased by 43,179 thousand rubles. (47.8%), which is mainly due to an increase in accounts receivable by more than eight times, as well as an increase in the amount of distribution costs (3 times), taxes on acquired assets (more than 8 times) and cash (in 3 times).

– The amount of non-current assets decreased by 4159 thousand rubles. (75.8%) due to significant disposal of part of fixed assets.

Own capital at the end of the analyzed period amounted to 35,815 thousand rubles. and increased by 0.4% over the year. Long-term liabilities at the end of the reporting period did not change and amounted to 41,500 thousand rubles, short-term liabilities amounted to 38,885 thousand rubles at the end of the year, while at the beginning of the period the company had no short-term liabilities.

To analyze the dynamics of the composition and structure of assets and liabilities of LLC “AVTOPOISK”, we present the balance sheet of the enterprise (see Appendix 1) in the following form:

Table 1.

Composition and structure of assets and liabilities of LLC "AVTOPOISK"

	Line code	At the beginning of 2005				Change per year
	Line code	Amount, thousand rubles	Oud. weight, %	Amount, thousand rubles	Oud. weight, %	In total, thousand rubles	By beat weight,%
1	2	3	4	5	6	7	8

1. Non-current assets	190	5 545	5,8	1 386	1,0	- 4 159	- 4,8
Fixed assets	110	5 247	5,5	1 268	0,9	- 3 979	- 4,6
Intangible assets	120	298	0,3	118	0,1	- 180	- 0,2
Profitable investments in material values	130	-	-	-	-	-	-
Investments in fixed assets	140	-	-	-	-	-	-
Other noncurrent assets	150	-	-	-	-	-	-
2. Current assets	290	89 678	94,2	132 857	99,0	+ 43 179	+ 4,8
Inventories and costs	210	594	0,6	1 785	1,3	+ 1 191	+ 0,7
- raw materials, materials and other valuables, animals for growing and fattening	211 + 212	140	0,15	80	0,05	- 60	- 0,1
- work in progress (distribution costs)	213	454	0,5	1705	1,3	+ 1 251	+ 0,8
- other inventories and costs	214	-	-	-	-	-	-
Taxes on purchased assets	220	94	0,1	907	0,7	+ 813	+ 0,6
Finished products and goods for resale	230	82 205	86,3	75 954	56,6	- 6 251	- 29,7
Goods shipped, work performed, services provided	240	-	-	-	-	-	-
Accounts receivable	250	5 067	5,3	47 280	35,2	+ 42 213	+ 29,9
Financial investments	260	-	-	-	-	-	-
Cash	270	1 718	1,8	6 931	5,2	+ 5 213	+ 3,4
Other current assets	280	-	-	-	-	-	-
	390	95 223	100	134 243	100	+ 39 020	-


1. Sources own funds	590	35 684	37,5	35 815	26,7	+ 131	- 10,8
1	2	3	4	5	6	7	8
2. Income and expenses	690	-135	-0,2	-5 114	-3,8	- 4 919	- 3,6
3. Calculations	790	59 734	62,7	103 542	77,1	+ 43 808	+ 14,4
Long-term loans and borrowings	720	41 500	43,6	41 500	30,9	-	- 12,7
Short-term loans and borrowings	710	-	-	38 885	29,0	+ 38 885	+ 29,0
Accounts payable	730	18 234	19,1	23 157	17,3	+ 4 923	- 1,8
- settlements with suppliers and contractors	731	482	0,5	702	0,5	+ 220	-
- payroll calculations	732	2 418	2,5	3 501	2,6	+ 1 083	+ 0,1
- settlements for other transactions with personnel	733	76	0,1	-	-	- 76	- 0,1
- calculations of taxes and fees	734	279	0,3	1 701	1,3	+ 1 422	+ 1,0
- calculations for social insurance and provision	735	935	1,0	1 350	1,0	+ 415	-
- settlements with shareholders (founders) for payment of income (dividends)	736	6 664	7,0	6 664	5,0	-	- 2,0
- settlements with various debtors and creditors	737	7 379	7,7	9 239	6,9	+ 1 860	- 0,8
Other types of obligations	740	-	-	-	-	-	-
	890	95 223	100	134 243	100	+ 39 020	-

According to Table 1, during the reporting year the share of working capital in the assets of the enterprise increased by 4.8%. However, the share of goods intended for sale decreased by 29.7%. At the same time, there is an increase in the share of distribution costs by 0.8% and taxes on acquired assets by 0.6%. The share of accounts receivable in the structure of the enterprise's assets also increased by 29.9%. The share of cash amounted to 5.2% of the enterprise's assets, while at the beginning of the reporting period the share of this balance sheet item was 1.8%.

An analysis of the liability structure of the balance sheet of LLC AVTOPOISK showed that the share of equity capital decreased by 10.8% with an increase in the share of short-term loans and borrowings by 29.0%, which indicates an unfavorable structure of the company’s liabilities. However, there is a decrease in the share of accounts payable by 1.8%.

When analyzing the financial stability of an enterprise, indicators of financial stability and net working capital are calculated, which will allow a more complete analysis of the capital structure of the enterprise.

Let us calculate the indicators for assessing the capital structure using formulas (13) – (24), described in Chapter 1.2 of Section I. We will present the results in the form of a table.

Table 3.

Analysis of indicators for assessing the capital structure of LLC "AVTOPOISK"

Financial stability indicators	At the beginning of 2005	At the end of 2005	Deviation
1. Share of borrowed capital in total capital (bankruptcy ratio) (norm.<= 0,5)	0,6	0,8	+ 0,2
2. Debt capital to equity capital (financial instability coefficient, financial leverage) (norm. 0.5-0.7)	1,2	2,6	+ 1,4
3. Share of long-term borrowed capital in permanent capital (investment attraction ratio)	0,54	0,57	+ 0,03
4. Coefficient of real value of fixed assets in the balance sheet asset	0,06	0,009	- 0,051
5. The coefficient of the real cost of fixed assets and material current assets in the balance sheet asset	0,06	0,02	- 0,04
6. Financial independence coefficient (autonomy coefficient)	0,37	0,23	- 0,14
7. Net working capital	+ 71 444	+ 70 815	- 629
8. Maneuverability coefficient of own working capital	0,8	0,95	+ 0,15
9.Share of net working capital in current assets	0,8	0,5	- 0,3
10. Net working capital / total capital	0,75	0,53	- 0,22
11. Financial stability ratio	0,4	0,2	- 0,2
12. Fundraising ratio	0,48	0,63	+ 0,15

As can be seen from Table 3, the share of borrowed capital generally exceeds the standard value (0.5), which indicates a financial risk. Moreover, during the analyzed period, the value of this coefficient increased by 0.2. The financial independence coefficient (the share of equity capital in the total capital of the enterprise) accordingly decreased by 0.2 points and amounted to 0.2 at the end of 2005. The value of the financial instability coefficient also significantly exceeds the norm (0.5-0.7), having increased by more than 2 times by the end of the reporting period, it amounted to 2.6. The dynamics of indicators (1) and (2) indicate a deterioration in the financial position of the organization compared to the beginning of the year. The investment attraction ratio shows that more than 50% of permanent capital consists of long-term borrowed funds. The decrease in indicators (4) and (5) is due, first of all, to the disposal of part of the fixed assets (see Appendix - Appendix to the balance sheet of Avtopoisk LLC, f. 5, paragraph 3 p. 370). The deterioration of the financial situation is also evidenced by a decrease in the autonomy coefficient from 0.37 to 0.23 (with the norm being 0.5 - 0.8). The low value of this ratio also reflects the potential danger of a cash shortage.

The amount of net working capital decreased by 629 thousand rubles, but it remains positive, which indicates that the company is able to cover its short-term obligations with current assets. The maneuverability coefficient of own working capital increased by 0.15. The share of net working capital in current assets decreased by 0.3 points. The share of net working capital in total capital decreased by 0.22 points. This is caused, first of all, by the increase in short-term liabilities of the enterprise, because In 2005, AVTOPOISK LLC was issued a short-term loan by the bank in the amount of $40,000 with a repayment period of 120 days. The fundraising ratio, which increased to 0.63 by the end of the reporting period, shows that AVTOPOISK LLC is able to cover its obligations with current assets by approximately 60%.

A general acquaintance with the dynamics of the composition and structure of the assets and liabilities of an enterprise indicates a deterioration in its financial condition. This conclusion is based, first of all, on data on an increase in the share of borrowed funds in the capital of the enterprise, as well as an increase in the share of receivables, which slows down the turnover of funds.

... are the most important characteristics of the actual environment for generating profit and income of enterprises. For this reason, they are mandatory elements of comparative analysis and assessment of the financial condition of the enterprise. When analyzing production, profitability indicators are used as a tool for investment policy and pricing. Product profitability shows how much profit is...

On the basis of which measures to improve it are developed. Using the above methods, formulas and indicators, we will analyze and assess the financial condition of the enterprise Kontur LLC. 2. Analysis and assessment of the financial condition of Kontur LLC 2.1 Organizational and economic characteristics of the enterprise Limited Liability Company "Kontur" was founded by individuals...

COURSE WORK

In the discipline "Enterprise Economics"

Ways to increase the financial stability of an enterprise

financial stability economic efficiency

Introduction

Theoretical aspects of determining the financial stability of an enterprise

2 Information base for determining the financial stability of an organization

3 Methodological approaches to assessing the financial stability of an enterprise

Analysis of enterprise activities

1 Organizational and economic characteristics of the enterprise LLC “First Window Plant”

2 Analysis of the financial activities of the organization LLC “First Window Plant”

3 Analysis of financial stability indicators of the enterprise LLC “First Window Plant”

Increasing the financial stability of the enterprise LLC "First Window Plant"

1 Ways to increase the financial stability of the enterprise LLC “First Window Plant”

2 Development and implementation of mechanisms to increase the financial stability of the organization First Window Plant LLC

Conclusion

List of sources used

Introduction

The modern Russian economy is characterized by instability and inconsistency in tax, monetary, insurance, customs, and investment policies; loss of state support due to a change in the form of ownership without significant changes to the legislative framework of the Russian Federation; insufficient budget funding; inflation; subordination of the accounting system to taxation purposes; uncertainty in the behavior of buyers, suppliers, competitors.

One of the main obstacles to stable economic growth is the slow process of transformation at the level of organizations (enterprises) due to the ineffectiveness of their management system, the low level of responsibility of managers for the consequences of decisions made and performance results, as well as the lack of reliable information about their economic condition, financial stability, which is the most important characteristic of financial and economic activity in market conditions. To eliminate negative trends in economic development in order to increase the stability of the activities of business entities, it is necessary to concentrate on ensuring the sustainable development of the organization as the main structural element of the economic system of the Russian Federation.

Overcoming the crisis situation in Russia, a market economy and new forms of economic management determine the solution of new problems, one of which today is ensuring economic stability of development. To ensure the “survival” of an enterprise in market conditions, management personnel need to assess the possible and appropriate pace of its development from the perspective of financial support, identify available sources of funds, thereby contributing to the sustainable position and development of business entities. Determining the sustainability of the development of commercial relations is necessary not only for the organizations themselves, but also for their partners, who rightly want to have information about the stability, financial well-being and reliability of their customer or client. Therefore, an increasing number of counterparties are beginning to be involved in research and assessment of the sustainability of a particular organization.

Assessing financial stability allows external subjects of analysis (primarily partners in contractual relations) to determine the financial capabilities of the organization for the long term, which depend on the structure of its capital; degree of interaction with creditors and investors; conditions under which external sources of financing are attracted and serviced. Thus, many business managers, including representatives of the public sector of the economy, prefer to invest a minimum of their own funds in the business and finance it with borrowed money. However, if the structure “equity - debt capital” has a significant bias towards debts, then a commercial organization may go bankrupt if several creditors suddenly demand their money back at an “unspecified” time. No less important is the assessment of financial stability in the short term, which is associated with identifying the degree of liquidity of the balance sheet, current assets and solvency of the organization.

Solvency and financial stability are the most important characteristics of the financial and economic activities of an enterprise in a market economy. The concept of “financial stability” of an organization is multifaceted; it is broader in contrast to the concepts of “solvency” and “creditworthiness”, since it includes an assessment of various aspects of the organization’s activities. Domestic economists interpret the essence of the concept of “financial stability” differently. In the early 90s. The margin of financial stability of an enterprise was characterized by a reserve of sources of own funds, provided that its own funds exceed borrowed funds. It was also assessed by the ratio of own and borrowed funds in the assets of the enterprise, the rate of accumulation of own funds, the ratio of long-term and short-term liabilities, and the sufficient provision of material working capital from its own sources.

Financial stability is a certain state of the company’s accounts, guaranteeing its constant solvency. Indeed, as a result of any business transaction, the financial condition may remain unchanged, improve or worsen. The flow of business transactions carried out daily is, as it were, a “disturber” of a certain state of financial stability, the reason for the transition from one type of stability to another. Knowing the limits of changes in the sources of funds to cover capital investments in fixed assets or production costs makes it possible to generate such flows of business transactions that lead to an improvement in the financial condition of the enterprise and an increase in its sustainability. When studying financial stability, a separate concept is identified - “solvency”, which is not identified with the previous one. As you can see, solvency is an integral component of financial stability. The sustainability and stability of the financial condition depend on the results of the production, commercial, financial and investment activities of the enterprise, and a stable financial condition, in turn, has a positive impact on its activities.

The stability of the financial condition of the organization determines the ratio of the values of its own and borrowed sources of reserve formation and the cost of the reserves themselves. The provision of reserves and costs with sources of formation, as well as the effective use of financial resources, is an essential characteristic of financial stability, while solvency is its external manifestation. At the same time, the degree of provision of inventories and costs is the reason for one or another degree of solvency, the calculation of which is made on a specific date. Consequently, the form of manifestation of financial stability can be solvency.

The relevance of the work is: financial stability is a goal-setting property of assessing the real financial condition of an organization, and the search for intra-economic opportunities, means and ways to strengthen it determines the nature of the conduct and content of economic analysis. Thus, financial stability is the guaranteed solvency and creditworthiness of an enterprise as a result of its activities based on the effective formation, distribution and use of financial resources. At the same time, this is the provision of reserves with their own sources of their formation, as well as the ratio of own and borrowed funds - the sources of covering the assets of the enterprise.

The purpose of the course work is to analyze financial stability using the example of the company First Window Plant LLC.

The subject of the course work is relative and absolute indicators of the financial stability of an enterprise.

Object - Limited Liability Company "First Window Plant"

1. Theoretical aspects of determining financial stability

1 Formation of financial stability of the enterprise

The key to survival and the basis for the stability of an enterprise’s position is its sustainability. The sustainability of an enterprise is influenced by various factors:

· position of the enterprise in the product market;

·production and release of cheap, in-demand products;

·its potential in business cooperation;

·degree of dependence on external creditors and investors;

· presence of insolvent debtors;

·efficiency of business and financial operations.

Financial stability is a reflection of a stable excess of income over expenses, ensures free maneuvering of the enterprise’s funds and, through their effective use, contributes to the uninterrupted process of production and sales of products. In other words, the financial stability of a company is the state of its financial resources, their distribution and use, which ensure the development of the company based on the growth of profits and capital while maintaining solvency and creditworthiness under conditions of an acceptable level of risk. Therefore, financial stability is formed in the process of all production and economic activities and is

3.1. Ways to increase the financial stability of an enterprise

In market conditions, the guarantor of survival and the basis for the sustainable position of an enterprise is its financial stability. It reflects the state of financial resources in which an enterprise, freely maneuvering funds, is able, through their effective use, to ensure the uninterrupted process of production and sales of products, as well as its expansion.

A financially stable, solvent organization has competitive advantages over other organizations in the same field of activity in attracting investments, obtaining loans, choosing suppliers and selecting qualified personnel, timely and fully repaying its obligations to the budget, employees, shareholders, credit and other financial institutions. The higher the financial stability of the organization, the more independent it is from changes in market conditions, the lower the risk of bankruptcy.

Today, not only the assessment and analysis of the financial condition of an enterprise, but also the forecasting of financial stability, as well as the development of measures to improve its financial condition, are of great importance.

Since a positive factor of financial stability is the presence of sources for the formation of reserves, and a negative factor is the amount of reserves, the main ways to maintain a stable financial condition of the organization remain: replenishment of sources for the formation of reserves, optimization of their structure, as well as a reasonable reduction in the level of reserves. This can be achieved in the following ways:

– increase in equity capital by increasing the size of the authorized capital and retained earnings;

– development of a competent financial strategy for the organization, which will allow attracting both short-term and long-term borrowed funds, while maintaining optimal proportions between equity and borrowed capital;

– revision of the weighted average values of product inventories in warehouses for a day, week, month. A decrease in inventory levels occurs as a result of planning inventory balances, as well as the sale of unused inventory items.

To increase the financial stability of an organization, it is necessary to find reserves to increase the rate of accumulation of its own sources and provide material working capital from its own sources. In addition, it is necessary to find the most optimal balance of financial resources.

For the analyzed enterprise, the main direction of increasing financial stability is to ensure the growth of equity capital through reinvestment of profits.

High quality of profit is determined by the stability of factors in its formation and the overall amount of profit from ordinary activities, compliance with legislative regulation of profitability and the reliability of partnerships. The low quality of profit is determined by the influence of negative factors in its formation, poor performance in production and financial activities, and violations in the legal regulation of the formation and distribution of profits.

Analysis of the quality of profit today is a pressing problem, because in a market economy in Ukraine, most enterprises are in a financial crisis. Bringing enterprises in a financial crisis, first to a break-even level, and then to a profitable level of activity, is the most important task of rehabilitating enterprises. In market conditions, enterprises are obliged to get out of the difficult financial situation on their own by mobilizing internal reserves and improving work.

External factors, as a rule, do not depend on entrepreneurial activity. The financial manager must take them into account when justifying management decisions. These include factors related to the general economic situation, the level of inflation, the specifics of individual commodity markets, and the influence of natural, geographical, transport and technical conditions on the production and sale of products.

Internal factors are the direct object of influence from the management system of the enterprise and a source of increasing profits due to their implementation in a system of specific measures and practical implementation.

The main goal of profit management is to ensure maximization of the welfare of the owners of the enterprise in the current and future periods . This main goal is designed to simultaneously ensure the harmonization of the interests of owners with the interests of the state and the personnel of the enterprise.

To manage profit, it is necessary to reveal the mechanism of its formation, determine the influence of factors on the growth or decline of profit, which will make it possible to identify the reserve for its growth. The amount of profit and its dynamics are influenced by factors both dependent and independent of the efforts of enterprises. These factors can be divided into two large groups: external, which do not depend on the enterprise, and internal, which the enterprise can influence (Fig. 3.1).

Rice. H.1. Classification of factors determining the level of profit

The main sources of increasing the amount of profit are increasing the volume of product sales, reducing its cost and improving quality, and selling products in more profitable markets.

To determine the reserves for increasing the amount of profit by reducing the cost of products, it is necessary to multiply the previously identified reserve for reducing the cost of each type of product by the possible volume of its sales, taking into account its growth. A significant reserve for profit growth is improving product quality.

Based on the results of the analysis of the financial results of the enterprise, measures are developed to eliminate the identified shortcomings and use the discovered reserves. Bazyuk Natalia Yurievna

, applicant, senior lecturer of the Department of Economics, Kostanay branch of Chelyabinsk State University, Kostanay, Russia Kremsal Galina Anatolevna

, 5th year student, specialty “Finance and Credit”, Kostanay branch of Chelyabinsk State University, Kostanay, Russia

| Ways to increase an enterprise financial stability of on the basing on the assessment of its financial state

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Annotation:

The relevance of the work is determined by the essence of financial stability, the main factors and mechanisms for increasing its indicators at the present time, which is not only theoretical, but also of significant practical interest for study.

JEL classification:

In the Republic of Kazakhstan, in a market economy, at the stage of active development of investment and innovation projects and laws, the problem of financial sustainability of enterprises is especially relevant.

When performing the work, various techniques and methods of analysis were used: review and study of literary sources, economic and statistical analysis, horizontal and vertical analysis, coefficient analysis, comparative analysis, trend analysis.

Assessment of the financial stability of an enterprise using the example of Avtodom TST LLP

Limited Liability Partnership "Avtodom TST" is a legal entity as a small business entity under the legislation of the Republic of Kazakhstan.

The partnership is a commercial organization, has civil rights and bears responsibilities related to its activities. Avtodom TST LLP has a seal, an independent balance sheet, bank accounts, forms with its name.

The company organizes cargo transportation using its own car carriers and supplies new cars.

The analyzed enterprise does not receive a stable profit; the dynamics of sales income and profit of the enterprise are presented in Table 1.

Table 1. Dynamics of sales income and profit of Avtodom TST LLP

for 2010-2012, thousand tenge

Indicators	At the end of 2010	Deviation (+,-)	Growth rate, %
Indicators	At the end of 2010
Income from sales, etc.
Profit, etc.
Return on sales, %

In the period from 2010 to 2011, the company received significant profit, and from 2011 to 2012 there was a sharp decline in sales income and, accordingly, profit, which was reflected in the growth rate of sales income and profit for the corresponding period.

In 2011, the value of intangible assets was 0.4, and in 2012 there was an increase in intangible assets by 10.4 thousand tenge and amounted to 10.8 thousand tenge. Fixed assets also play an important place in the enterprise. The main indicators of the efficiency of use of fixed assets are presented in Table 2.

Based on the data in the table, it can be seen that during the analyzed period the value of fixed assets is gradually increasing: in the period from 2010 to 2011 it increased by 107.9 and amounted to 3343 thousand tenge; in the period from 2011 to 2012, the value of fixed assets increased by 689.7 thousand tenge and amounted to 4032.7 thousand tenge.

Table 2. Analysis of the efficiency of use of fixed assets of Avtodom TST LLP for 2010-2012

Indicators	At the end of 2010	At the end of 2011	At the end of 2012	Deviation, (+,-)	Growth rate, %
Indicators	At the end of 2010	At the end of 2011	At the end of 2012
Income from sales, etc.
Fixed assets, etc.
Capital productivity
Capital intensity
Average number of employees, people.
Capital-labor ratio, etc.
Net profit, t.t.
Capital return, %

Source: Explanatory note of Avtodom TST LLP

As a result, changes occurred in the dynamics of capital productivity and capital intensity. In the period from 2010 to 2011, capital productivity increased slightly by 1.5 points, and from 2011 to 2012, capital productivity decreased by 2.59 points. At the same time, there is a change in capital intensity; from 2010 to 2011, capital intensity decreased by 22 percent, and in the period from 2011 to 2012 it increased by 0.011 points. Labor productivity is an important indicator for the sustainable financial condition of an enterprise. The analysis of labor productivity of Avtodom TST LLP for 2011-2012 is presented in Table 3.

Table 3. Analysis of labor productivity of Avtodom TST LLP

Indicators	At the end of 2010	Deviation	Growth rate, %
Indicators	At the end of 2010
Income from sales, etc.
Average number of employees, people
Average annual output per employee, i.e.

The average annual output of one employee at Avtodom TST LLP for 2010-2011 decreased by 137.62 thousand tenge and amounted to 1426.18 thousand tenge. In the period from 2011 to 2012, the average annual output per employee also tends to decrease; it decreased by 112.73 thousand tenge and amounted to 1313.45 thousand tenge at the end of 2012. From 2010 to 2011, sales income increased by 32.65 percent and amounted to 22,818.8 thousand tenge. However, between 2011 and 2012, sales income decreased significantly. The adjusted amount of income from sales amounted to 17074.9 thousand tenge.

Table 4. Analysis of the asset structure of Avtodom TST LLP for 2010-2012

Indicators
Indicators	Amount, t.t.	Amount, t.t.	Amount, t.t.
Current assets
Including: cash
short-term receivables

Long-term assets
Balance currency