Diagnostics of equity and debt capital of agricultural organizations

Abstract

Diagnostics of equity and debt capital allows the manager and owners of the enterprise to identify the main indicators in the structure of capital, to assess their impact on the financial condition of this enterprise and its activities, as well as to analyze how effectively the enterprise uses capital. The structure and dynamics of equity and debt capital is the most significant indicator that determines the financial condition of the enterprise. In order to improve the efficiency of equity and debt capital, the authors identified the main factors that affect the financial profitability of own funds and the efficiency of the use of borrowed capital. When calculating the optimal capital structure for each agricultural organization of the Penza region, depending on different approaches to asset financing, the modeling of the optimal capital structure was carried out. On this basis, using the normative value of the financial leverage ratio for each agricultural organization of this group, the effect was determined. The form of internal reporting «Report on the diagnostics of equity and debt capital» was proposed for the comprehensive presentation of the obtained results within the framework of the diagnostic survey.