Subject. The article considers methods that contribute to improving the enterprise solvency and eliminating the liquidity risk. Objectives. The aim is to determine ways to minimize liquidity risk by improving the size and structure of company's working capital. Methods. The methodology rests on systematization and analysis of theoretical and methodological approaches presented in the domestic and foreign literature on solvency, liquidity risk assessment and working capital management. We also employ scientific methods, such as comparison, grouping, analysis and synthesis, statistical methods, and methods of financial analysis. Results. We consider the role of solvency and liquidity analysis in the crisis management system, define the information base used for conducting the analysis. We also identify and describe the relationship between the level of working capital, liquidity and profit, and calculate the optimal amount of net working capital. The paper presents methods to improve the current asset structure and defines the economic effect of offered measures. Conclusions. The crisis management system should include the solvency and liquidity analysis to minimize the liquidity risk. It is crucial to calculate optimal amount of working capital when designing a crisis management policy, and work out measures to maintain the working capital.
Keywords: solvency, liquidity, risk, crisis management, current assets
References:
Tusaeva A.R., Poptsova V.A., Gavrilova A.V. [Analysis of liquidity and solvency of the enterprise on the joint-stock company case]. Sovremennye nauchnye issledovaniya i innovatsii, 2018, no. 2. (In Russ.) URL: Link
Karzaeva N.N., Karzaeva E.A. [Instruments to improve economic entities solvency]. Uchet. Analiz. Audit = Accounting. Analysis. Auditing, 2016, no. 4, pp. 33–41. URL: Link (In Russ.)
Perekhodova D.D. [Optimal structure of sources of financing as a guarantor of high solvency and financial soundness]. Studencheskii: nauchnyi zhurnal, 2017, no. 14. (In Russ.) URL: Link
Mkrtumyan N.V. [The role of working capital in preventing the liquidity risks]. Aktual'nye problemy gumanitarnykh i estestvennykh nauk = Topical Issues of Humanities and Sciences, 2014, no. 2-1, pp. 165–169. URL: Link (In Russ.)
Mokina L.S. [Management of working capital of economic entity as important direction of his short-term financial policy]. Voprosy studencheskoi nauki, 2017, no. 13. URL: Link (In Russ.)
Oganova M.A. [Sources of formation and methods to calculate working capital needs]. Tavricheskii nauchnyi obozrevatel', 2016, no. 7. (In Russ.) URL: Link
Keklik I. [Methods for optimizing of working capital use]. Vestnik Rossiiskogo novogo universiteta. Ser.: Chelovek i obshchestvo = Vestnik of Russian New University. Series: Human and Society, 2018, no. 1, pp. 58–61. URL: Link (In Russ.)
Volokitina V.M., Gedich T.G. [Justification of material and technical resources management model at a coal mining enterprise].Vestnik Irkutskogo gosudarstvennogo tekhnicheskogo universiteta = Proceedings of Irkutsk State Technical University, 2015, no. 11, pp. 176–181. URL: Link (In Russ.)
Mazunina K.Yu. Praktika primeneniya filosofii upravleniya rabochim kapitalom na osnovanii metoda proizvodstva ‘tochno vovremya’ i konsignatsionnoi skhemy. V kn.: Organizatsionnaya dinamika: faktory i napravleniya [Practice of the working capital management philosophy application on the basis of ‘just-in-time’ production method and a consignment scheme. In: Organizational dynamics: Factors and directions]. St. Petersburg, Saint Petersburg State University of Economics Publ., 2016, pp. 77–82.
Mishkova M.P., Kichaeva T.V. [Receivables management as an element of financial flows management]. Innovatsionnoe razvitie ekonomiki: tendentsii i perspektivy = Innovative Development of Economy: Trends and Prospects, 2017, vol. 1, pp. 106–112. (In Russ.)
Chumachenko E.A. [The study of the process of working capital formation and management of a commercial organization]. Ekonomika i predprinimatel'stvo = Journal of Economy and Entrepreneurship, 2017, no. 2-2, pp. 766–771. (In Russ.)
Mamedova G.K. [Cash flows and liquidity of the organization: domestic and foreign practice]. Bukhgalterskii uchet = Accounting, 2015, no. 8, pp. 119–121. URL: Link (In Russ.)
