Audit and economical analysis

Use of Financial Management in Bankruptcy Prevention

Necessary condition of the economy is the maintenance of financial and economic activity of the enterprises on the basis of modern financial management and implementation of international financial reporting standards. It is desirable to enter the world market, get international credit, introduce financial management to attract foreign investment, and build reporting on international standards. Because achieving transparency of financial reporting can only be achieved by shifting to international standards. Manufacturing companies need to introduce a fundamentally new system of financial reporting and improvement. An advanced foreign experience helps us.

Based on analytical information, concrete measures are being taken to manage, evaluate and reduce their solvency, investment, credit, currency, inflation, taxation, bankruptcy and other identified financial risks. The systematic training, retraining and professional development of the personnel is an important issue. It is necessary to improve their work forms and methods, to be responsible and to change the attitude towards them, to form a clear and well-articulated emotional stimulus. Financial management is a form of activity that focuses on the management of financial and economic activities based on modern methods. Purpose of Financial Management. Production and application of resources, methods and tools for the achievement of the objectives of the activities of a single enterprise or its affiliate - an enterprise or a center of its benefit.

Financial management functions include:

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  financial analysis;
  
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  money resources estimation;
  
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  obtaining loans and loans;
  
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  operations with investments;
  
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  evaluation of operations and separation of firms.