Ratio Of Current Liabilities Research Articles

ANALISA KELAYAKAN RENCANA PEMBELANJAAN MODAL (CAPEX) PT UNITED TRACTORS TBK (UNTR) DALAM RANGKA MENGANTISIPASI PROYEKSI PERTUMBUHAN BISNIS PERUSAHAAN

The purpose of this study is to determine the performance of PT United Tractors Tbk through cash flow analysis that can be used as a decision-making tool by company and investors. Research approach to be used is quantitative descriptive, data used for analysis is secondary data, which is cash flow reports collected from the website of PT United Tractors Tbk. Data were analyzed using 8 cash flow ratios, namely: ration of operating cash flow, cash flow coverage ratio, interest coverage ratio of the cash, the cash coverage ratio of current liabilities, capital expenditure ratio, the ratio of total debt, the ration of net cash flow and free cash flow adequacy ratio. The results of the analysis indicate that the company's financial performance from 2017 to 2021 ratio generated tends to be deprived, where it seen from 5 ratios are on low average

An Empirical Study on the Relationship between Capital Structure and Firm Performance: A Case Study of Listed Manufacturing Enterprises in Hebei Province

The financial data of Hebei Province's listed manufacturing enterprises from 2013 to 2022 is used in this paper to build a multiple linear regression model, and two-way fixed effect regression is used to examine the relationship between capital structure and corporate performance of these enterprises. The findings indicate that the retained earnings ratio and the gearing ratio of Hebei Province's listed manufacturing enterprises have a significant positive correlation with corporate performance, while the current liability ratio and the current liability ratio have a positive correlation. Based on this, this paper proposes two methods to maintain a reasonable asset-liability ratio and current liability ratio, optimize the capital structure of listed manufacturing enterprises in Hebei Province, and raise the enterprise's own capital as well as the ratio of retained earnings in profit distribution.

Analisis Arus Kas Operasi sebagai Alat Ukur Kinerja Keuangan

This research aims to determine the current ratio obtained by PT Siloam International Hospitals Tbk in 2019 - 2021, as well as to analyze the company's financial performance using the Operating Cash Flow Ratio, Cash Coverage to Interest Ratio, Total Debt Ratio, Cash Coverage to Current Liability Ratio, Expenditure Ratio Capital, Funds Flow Coverage Ratio, Free Net Cash Flow Ratio, and Cash Flow Adequacy Ratio. The method used in this research is a qualitative research method. From the research results, it can be concluded that the financial performance of PT Siloam International HospitalsTbk in 2019-2021, assessed from the operating cash flow ratio, was stated to be poor. The financial performance is considered average based on the calculation of the eight operating cash flow ratios. It had five ratios that did not meet standard 1, and only three ratios met standard 1. It showed that the company's ability to manage operating cash flow is still less than optimal. However, the financial performance of PT Siloam International Hospitals Tbk in 2019-2021 tended to increase from year to year, this can be seen from the eight operating cash flow ratios, seven ratios had increased so that the financial performance of PT Siloam International Hospitals Tbk was getting better from year to year.

IOT financial management system for energy enterprise management risk and prevention and control strategy under the background of double carbon

Despite the absolute number of developments and products of enterprise management systems and platforms, there are still limited ways to achieve risk assessment of enterprise financial management by energy enterprise stakeholders. To reduce the financial management pressure of energy enterprises as well as to reduce enterprise financial risks, this paper establishes an Internet of Things(IOT) financial management system. The system was also comprehensively evaluated based on the financial risk management status of each company for the period 2016-2020. The results show that a significant increase in the share of non-current liabilities was observed after the introduction of the IOT-based financial management system in 2018. Relative to the 2017 data, the current liability ratio decreased by 2.96%, 7.98%, and 14.59% for 2018, 2019, and 2020, respectively. The ratio of corporate investments to revenue decreased by 8.74%, 22.91% and 16.83%, respectively. Investments as a percentage of earnings decreased by 6.22%, 5.48%, and 6.82%, respectively. The ratio of undistributed earnings decreased by 9.69%, 18.82% and 35.39%, respectively. Finally, the introduction of the IOT's financial management system reduced financial management costs by a factor of 2.822, 4.358 and 5.501, respectively. And the cost of managing people in an integrated manner was reduced by 2.964, 3.012 and 4.004 times respectively.

Determinants of the Corporate Financing Structure in the Energy and Mining Sectors; A Comparative Analysis Based on the Example of Selected EU Countries for 2012–2020

The main aim of the paper is to examine the interdependence of corporate financing structure on selected determinants in the energy and mining sectors of the economy. In addition, a comparison of the results between these economic sectors is made. In order to increase the representativeness of the sample, countries from both the “old” European Union (Germany, France, Great Britain, Spain, Italy, and Sweden) and newly admitted countries (Poland, the Czech Republic, Hungary, Romania, Slovakia, and Bulgaria) were included in the study. The research used data from the Orbis database for 2012–2020. A one-factor linear panel model was used to verify the hypotheses. The research partly confirmed the hypotheses. A negative relationship between the financing structure and profitability in both analysed sections was clearly established. The second determinant whose influence on the financing structure in both sections was found to be unambiguous was the ratio of current liabilities to current assets. However, this influence was positive. Another determinant whose influence on the financing structure was confirmed to be unequivocal and positive in nature was the size of the company. This occurred only in the energy sector. The research revealed that other determinants, such as asset structure, interest, and noninterest tax shields, also affect the financing structure of companies, but the statistical significance of these relationships is ambiguous.

Corporate Capital Structure Practices and Shareholder’s Wealth of Shariah Compliant Firms of Pakistan

Main objective of the research is to investigate the impact of corporate capital structure practice on the shareholders wealth of sharia-compliant companies that are quoted in the Pakistan Stock Exchange. For the purpose of determining the impact, the company’s shareholders wealth has been used as the dependent variable, represented by return on assets. The capital structure is used as the independent variable, and its proxies are the debt-to-equity ratio for long-term financing and the current asset to current liability ratio for short-term financing, respectively. Size, tangibility and growth were taken as control variables and determined by the sales-to-assets ratio, fixed asset to total asset ratio, and percentage change in sales respectively. Panel data of 22 shariah complaint firms according to screening criteria established by Al Meezan investment limited for the period of June 30,2008 to June 30, 2020, has been taken from listed firms in Pakistan stock exchange. All descriptive analysis, diagnostics tests and regression were applied for comprehensive data analysis. This study reveals that, for sharia-compliant businesses, sales growth is more important than tangibility or size when it comes to firm shareholders wealth. Due to the type of research that has been conducted, firms which are not shariah compliant, excluded from the panel and focus has only been given on the shariah compliant firms specifically listed in Pakistan stock exchange. The findings of this study may be applicable only shariah compliant firms as per criteria established by Pakistani shariah board. This study is explicitly completed about the capital constructure of shariah consistent firms since shariah agreeable firms are confined by interest bearing debt up to a specific cutoff, so it is consuming contemporary corporate finance issue to investigate explicitly the effect of corporate capital structure of shariah agreeable companies’ shareholders wealth in Pakistani capital market.

FINANCIAL MANAGEMENT OF ASSET-LIABILITY RATIO OF SMALL- AND MEDIUM-SIZED ENTERPRISES IN DYNAMIC NONLINEAR SYSTEM

The purposes of this paper are to optimize the financial management methods of small- and medium-sized enterprises (SEMs) and deeply explore asset-liability ratio’s relevant theories. A medium-sized manufacturing enterprise’s financial conditions and the influencing factors of enterprise’s asset-liability ratio are researched by a dynamic model with two-way effects and the enterprises’ dynamic nonlinear simulation model. Meanwhile, capital injection’s impacts on asset-liability ratio are explored. The results show that different industries’ enterprise asset-liability ratios vary. The real estate enterprises’ asset-liability ratio is 61.35%, the highest, and the cultural communication industry is the lowest, 35.62%. Meanwhile, the asset-liability ratios of energy industry, manufacturing industry, and the wholesale and retail industry are also relatively high. The larger the enterprise’s scale, the higher its asset-liability ratio, long-term liability ratio, current liability ratio, and loan financing. The proposed simulation software performs satisfactorily in its application. The simulation system’s analysis shows that the target enterprise’s asset-liability ratio is gradually increasing, and its return on equity and capital turnover rate is decreasing, reaching the critical bankruptcy point in the 36th month. With a 20 million CNY capital injection, its asset-liability ratio decreases significantly, and return on equity increases steadily. In the 49th month, it resumes normal operations. The results provide a useful reference for subsequent research on enterprises’ asset-liability ratios and SMEs’ financial management.

The Application of Internet Big Data and Support Vector Machine in Risk Warning

With the strengthening of macro-control of the real estate industry and the intensification of market competition, it is of great significance for the steady development of the industry to establish an accurate and effective early-warning mechanism for enterprise financing risk. Taking the A-share real estate listed companies in China in 2019 as target, this paper collects financial information of the relevant companies from 2010 to 2019, supplemented the risk sample data from 2005 to 2010, and reduced classification imbalance by removing discrete points and using SMOTE. When the financing risk evaluation system of listed real estate companies is constructed with capital as the entry point, the stochastic forest algorithm is used to finally select five important characteristic dimensions, namely, current ratio, equity financing ratio, operating income, current liability ratio and receivable turnover ratio. This paper establishes SVM early warning model, PSO-GA-BP optimization model and KNN early warning model to predict financing risks of real estate companies. It is concluded that, by comparing their applicability and advantages and disadvantages, SVM after feature screening and sample processing has better performance in the real estate financing risk early warning, which can provide some references for enterprise decision makers, investors and regulatory authorities.

Capital structure manufacturing companies in Indonesia: In review

This study aims to provide an in-depth overview of the selection of capital structure of manufacturing companies listed on the Indonesia Stock Exchange (IDX) from 2015 to 2017. The data of this study were 127 annual reports of manufacturing companies listed on the IDX, divided into three types of industry, namely basic and chemical industries, miscellaneous industries, and consumer good industries. The capital structure ratios used in this study were Debt to Asset Ratio (DAR) and Debt to Equity Ratio (DER). It also looked at the ratio of Current Liabilities to Total Debt (CL/TD) and the ratio of Long Term Debt to Total Debt (LTD/TD). The results showed the average DAR of manufacturing companies in Indonesia for 3 years was 45 percent. Meanwhile, the DER rate was 111 percent. The debt of manufacturing companies in Indonesia was dominated by current liabilities compared to long-term debt. The consumer good industries had the lowest DAR and DER levels compared to basic and chemical industries and miscellaneous industries. This study can be used as a basis and overview of the capital structure of manufacturing companies listed on the Stock Exchange for further studies. JEL Classification : G32, L60 DOI: https://doi.org/10.26905/jkdp.v24i4.4312

외식기업의 자본구조가 기업성과에 미치는 영향에 관한 연구

This study examined the relationship between capital structure and performance of firms in the food service industry. The sample in the study is firm-year data compiled from 30 food service industry firms listed on the Korea Exchange from 2010 to 2018. A panel regression model was used for analysis considering that the sample has properties of the panel data. Dependent variables in our model were the proxies for the firm performance, such as stock price, return on assets, and return on equity. Explanatory variables were capital structure, such as total liability ratio, current liability ratio, and non-current liability ratio. In addition, control variables were selected as variables that were deemed to affect the firm performance, such as firm size, asset intensity, firm age, sales growth rate, and advertising expenses. We found that capital structure had a significant negative (-) effect on the financial and accounting performance of the firms. This implicates that, on the basis of the theory of trade-off capital structure, the firms use a relatively high level of debt compared to the optimal capital structure. Given that there have been few of studies on the relationship between capital structure and corporate performance of firms in the food service industry in Korea, this study is expected to contribute to activating research related to this area in the future.

ANALYSIS OF CASH FLOW REPORTS IN ASSESSING FINANCIAL PERFORMANCE AT THE PESISIR SELATAN DISTRICT HEALTH OFFICE

The Pesisir Selatan District Health Office Technical Implementation Unit that has been determined to apply the Financial Management Pattern of the BLUD Work Unit is given in the form of flexibility or flexibility to apply sound business practices to optimally improve health services to the community. Testing the hypothesis in this paper by using a comparison of the value of the test sign with the test table sign. The results of the study found (1) The evaluation of cash flow performance through the current liability ratio in the South Pesisir District Health Office is not good, so the department is unable to pay its current liabilities using only operating cash flow. (2) Evaluation of cash flow performance through the capital expenditure ratio shows quite good results from year to year so there is no need to wait for external funding such as creditors and investors. However, in the last 2 years, there has been a decline so external funding is needed. (3) The evaluation of cash flow performance through debt expenditure ratios at the South Coastal District Health Office is not good. The company does not have a good ability to pay all of its obligations using cash flow originating from the company's normal operating activities and (4) The results of the answers to the second problem found in the South Pesisir District Health Office have applied to account by PSAP and Government Regulation Number 71 of 2010 both in terms of Operating Activities, Non-Financial Asset Investment Activities, Financing Activities, and Non-Budget Activities.

Analisis Rasio Modal Kerja Pada PT. Bank BNI Tbk

This research aims to analyze and find out how working capital adequacy ratio. This research was conducted at the PT. Bank BNI Tbk. The methods used in this research is descriptive quantitative and analytical tools used are Working capital adequacy Ratio which consists of three types of ratios i.e. ratio of Total Assets to capital The work is clean, current liabilities against the Net working capital and working capital Turnover. The data used are secondary data from the financial statements of PT Bank BNI Tbk. Results of the study explained that the calculation of the ratio of Total Assets Against Net working capital in the year 2015 to 2017. And the results of calculation of the ratio of current liabilities against the Net working capital in the year 2015 to 2017. And the results of the calculation of working capital Turnover Ratio by the year 2015 to 2017 is also quite good. The results of the analysis of the work on capital adequacy ratio of the company will give an overview of how companies can manage the capital works. We suggest PT Bank BNI Tbk. can use working capital optimally. So the company could cover the liabilities are short-term and the company was able to produce profits every year.

The effect of working capital management on profitability: Evidence from southeast Europe

The research is designed to examine the effect of working capital management on company's profitability in the food industry in Southeast Europe, during the five years period (2010-2014). The sample included 9883 active companies. The influence of certain variables of working capital management (current liquidity, the ratio of current to total assets of companies, the ratio of current liabilities to total assets of companies, financial leverage and size of the company) was measured on the probability of higher profitability by applying probit regression analysis. The results of probit regression provide support to a hypothesis that most of the analyzed variables of working capital management have statistically significant impact on the probability of higher profitability. In this paper is also researched how the optimal level of working capital management can contribute to the growth of profitability and value of the company as a whole.

Net worth statement, income statement and performance of residential farm business in Maharashtra

The study was carried out during the year 2013-14 in Parbhani district of Maharashtra. About 48 residential farms were randomly selected from sixteen villages of two tehsils of Parbhani district of Maharashtra. Data were collected by personal interview method by using pretested schedule. The results revealed that, current asset was Rs. 541522.89 while intermediate asset was Rs. 109321.64 and long term asset was Rs.2071565.70. Hence, total asset was Rs. 2722410.23. The amount of total liability was Rs.241922.58 in which long term libility was Rs. 125533.53 followed by intermediate liability Rs. 29769.05 and current liability was Rs. 86620. Hence, net worth or equity was Rs.2480487.65. In income statement, gross cash income was Rs. 474092.89 and amount of total receipt was Rs. 630592.89. Total expense was Rs. 285890.17. Amount of net farm income was Rs. 344702.72.In regards to performance of residential farm business, current ratio was found to be 6.25. The intermediate ratio was found to be 5.59. The net capital ratio was 11.25.Current liability ratio was 0.03 which indicated negligible amount of current liability as compared to owner's equity. Debt-equity ratio was 0.09 and Equity value ratio was 0.91 on residential farm business. Operating ratio was found to be 0.42. Fixed ratio was 0.17.and gross net profit ratio was found to be 0.60.

A study on the effect of working capital management on profitability on Cement and Petrochemical industries: Evidence from Tehran Stock Exchange

Article history: Received December 2, 2013 Accepted 8 May 2014 Available online May 29 2014 This paper presents an empirical investigation to study the effect of working capital management on profitability on Cement and Petrochemical industries. The study uses the information of 24 firms from Cement industry and 19 firms from Petrochemical industry listed on Tehran Stock Exchange. There are two independent variables including the ratio of current assets on total assets as well as the ratio of current liabilities on total assets in this survey. In addition, there are two dependent variables including return on assets (ROA) and Tobin’s Q. The study also considers firm size, sales’ growth, financial leverage, gross domestic product growth as control variables. Using stepwise regression technique, the study confirms a positive and meaningful relationship between working capital criteria and profitability. In addition, the study confirms that as the ratio of current assets to total assets increases, ROA and Tobin’s Q will be reduced, which means lower profitability would be resulted. In addition, as financial leverage increases, ROA in both industries will reduce while Tobin’s Q will increase in Cement industry and will reduce in Petrochemical industry. © 2014 Growing Science Ltd. All rights reserved.

Prediction of Corporate Failure in Nepal

This study has examined the usefulness of seventeen financial ratios in discrimination of failed companies and non-failed companies. Out of them, the ratios of current assets to total assets, current liabilities to total debt, shareholder's equity to total debts, current assets to net sales, net sales to total assets, net sales capital employed, earnings before interest and tax to total assets, net income to net sales, net income to total assets, cash flow to net sales and cash flow to current liabilities are statistically significant between failed companies and non-failed companies. It also concludes that failed companies use more debts. Liquidity, profitability, cash flow, and turnover ratios of failed companies are poorer than non-failed companies. Using multivariate discriminant analysis (MDA) as a technique of data analysis, it is concluded that MDA can classify failed and non-failed companies with 87.5% classification accuracy in one and three year, 91% accuracy in two year and 79% in four year prior to failure of a company. Only four financial ratios: current liabilities to total debts; net sales to total assets, earnings before interest and tax to interest and cash flow to earnings before interest and tax have been found statistically significant in multivariate discriminant model for predicting failed companies and non-failed companies. On the basis of standard coefficient, the ratio of current liabilities to total debts is found the most important ratio in discrimination of failed and non-failed companies followed by earnings before interest and tax to interest, net sales to total assets, and cash flow to earnings before interest and tax respectively.

Investigating the role of different industries on relationship between working capital management and Tobin’s Q

Article history: Received May 12, 2013 Received in revised format 12 September 2013 Accepted 6 October 2013 Available online October 16 2013 This paper presents an empirical investigation to study the effect of industry type on relationship between Tobin’s Q and working capital management among selected firms from Tehran Stock Exchange. The proposed study gathers the necessary financial information from 219 different firms over the period 2001-2011 and categorizes them based on different sectors. There are five independent variables including current ratio, the ratio of current assets to total assets, debt ratio, the ratio of current liabilities to total assets and total cash. Using a linear regression by considering type of industry as dummy variable, the study detects that there was a positive and meaningful relationship between working capital and Tobin-Q in various industries. © 2013 Growing Science Ltd. All rights reserved.

An Empirical Study on Predicting Financial Risk of Listed Companies

Financial crisis early warning analysis is a matter of grave social and economic concern. It is important for enterprises, commercial banks and various investors. This is an exploratory study to determine if financial ratios of crisis companies differ from those of no crisis companies. The crisis firms (n=63) were then matched with no crisis firms on the basis of firm size, time period, and industry. Using this matched-pairs design, choose 63 listed companies, which are marked ST companies because of abnormal financial standing in Shanghai and Shenzhen in 2006, form the financial crisis samples, and choose some similar sized listed companies in same industry as matching samples, Taking the index of property liabilities ratio, audit opinion, finance lever ratio, gross property net profit ratio, sales revenue growth ratio and cash flux to current liability ratio as the final variants, set up the discriminant model by Fisher’ coefficient, conduct the case analysis of financial crisis early warning. These results provide empirical evidence of the limited ability of financial ratios to detect and predict crisis financial reporting.

Dividend Programs Related to Depreciation

Abstract Figures are presented to show the working out of five selected dividend programs and to demonstrate that depreciation funds can be and often are misused as a result of the dividend program chosen. Several related subjects also are discussed, such as historical statements for interpretation of results, possibility of a current investment to current liability ratio, dividends that return parts of the original investment, and depreciation funds spent by management.