Audit and economical analysis

Net assets = Assets - Obligations:

Property of the Company to increase its charter capital

=Net assets -Authorized capital (fund)-Reserve capital

Today, most of the enterprises are organized in the form of the most extensive forms of ownership, limited liability companies. In these societies, charter capital can be multiplied in 3 different ways: a) at the expense of the company's property; b) additional contributions of the participants of the society; c) the contributions of third parties to the public. It follows from the above that it is necessary to implement the result of capitalization, unallocated profit, targeted earnings and dividend of special shares (shares) acquired from the inventories for future periods and payments, which are added at the expense of the property of the company. It is generally not possible to increase the charter capital at the expense of capital, targeted earnings and reserves for future periods and payments. Because the purpose of the use of these balances or accounting items is clearly defined. The method of pure assets analysis is carried out in two stages:

1. The analysis of the dynamics of fixed assets. At the beginning and end of the current period, net assets and their average value are determined. The result is the comparison of the previous years and the reasons for the change.

2. Analysis of effective use of capital assets. The turnover, profitability indicators and their variability of net assets are analyzed by factors. Determining the effectiveness of the use of pure assets is calculated using the following formula:

Nea=Neb/ASA*100

Here is

Nea-net assets;

Neb- Net Benefit;

ASA-net assets.

Turnover of pure assets is calculated by dividing sales proceeds by the average annual value of net assets.

The rotation period will be calculated as follows: