Financial Solvency Research Articles

Identification of investment attraction strategies to increase the economic potential of a trading enterprise

In the current conditions of globalisation and rapid development of market competition, effective investment attraction is becoming a critical success factor for enterprises in the trade sector. The purpose of this study is to analyse ways to attract investment in the development of the economic potential of commercial enterprises and substantiate the areas for potential development. In the course of the study, methods of statistical analysis of enterprise reporting data, methods of abstraction and generalisation were used. The paper discusses such strategies as the active use of digital technologies for business promotion, focus on startups and innovative projects, environmental responsibility and social orientation of businesses, new methods of attracting investment, such as crowdfunding and the use of cryptocurrency and blockchain technologies, and attracting corporate investments and partnerships. Various areas of attracting investment were compared, including bank lending, private placement of shares, initial public offering of shares, and raising venture capital. These advantages and disadvantages of each area help businesses understand which approach might be most appropriate for their specific needs. The factors influencing the choice of investment attraction strategy for commercial enterprises are considered. First of all, the company must define its goals and needs for investment, analyse the market situation, assess financial stability and solvency, and assess risks and potential profitability. Next, the company can choose the most suitable investment attraction tool in accordance with its goals and market conditions. The company METRO Cash and Carry Ukraine is analysed as one of the leaders among commercial enterprises in Ukraine. METRO Cash and Carry Ukraine uses an innovative policy of investing in economic potential, actively raising funds for automation and optimisation of activities, and uses leasing to expand its network with minimising risks. In general, attracting investment is very important for the growth of an enterprise and the successful implementation of its economic potential, the choice of investment attraction strategy is crucial for the growth of trading enterprises, helping to secure the necessary financial resources and increase their competitiveness

Financial Ratio Analysis at PT. Indocement Tunggal Prakarsa Tbk. Registered on The Indonesia Stock Exchange for The 2016 - 2020 Period

The present study investigates the evaluation of financial ratios, encompassing liquidity, solvency, and profitability ratios, at PT. Indocement Tunggal Prakarsa Tbk., a company listed on the Indonesia Stock Exchange, by analyzing financial reports spanning the period of 2016–2020. The present study employs a quantitative research methodology whereby the collected data is subjected to analysis in order to facilitate comprehension and interpretation through explanatory means. Upon conducting an analysis and subsequent discussion, the authors concluded that the assessment of financial ratios at PT. Indocement Tunggal Prakarsa Tbk. from 2016 to 2020 is primarily founded on liquidity and solvency ratios. The results indicate that the company's financial standing is generally favorable—the profitability ratios of PT. Indocement Tunggal Prakarsa Tbk. from 2016 to 2020, as analyzed through financial ratio analysis, indicates an average unfavorable state.

Investor sentiment and firm capital structure

We provide novel evidence of the role of investor sentiment in determining firms' capital structure decisions from three perspectives: leverage ratio, debt maturity and leverage target adjustment. We find that when investor sentiment is high, firms increase their leverage ratios, supporting our contention that high investor sentiment increases firms' debt capacity and facilitates the use of an aggressive leverage policy. Debt maturity is shorter in high sentiment periods, implying that firms are confident about future earnings and use shorter debt maturity to signal their financial solvency. Leverage target adjustment is slower in low sentiment periods, indicating higher costs of external finance. Furthermore, the sentiment-leverage relationship sensitivity is greater for financially constrained firms. Our extended analysis determines that leverage-increasing firms generate lower stock returns subsequent to a period of high sentiment, offering practical insights into the economic consequences of increasing leverage in high sentiment periods on corporate value for investors. Our research advances the understanding of the impact of investor sentiment on firms' financing decisions and stock returns.

Impact of Pandemic Outbreak and Targeted Required Reserve Ratio Cut Policy on Stock Return Rate: Evidence from China

Abstract This study analyzed the impact of COVID-19 outbreak and targeted required reserve ratio cut policy on stock returns of Chinese listed companies. This paper uses the data of 3,449 A-share listed companies from February 3, 2020 to December 31, 2020 for research, the empirical results showed that stock prices of private enterprises with stronger debt-paying ability and looser financing constraints, and state-owned enterprises with less supply chain credit risks performed better, in the central and western regions, enterprises with stronger solvency and looser financing constraints have better stock price performance during the early stages of pandemic. After the implementation of the targeted RRR cut policy, the stock prices of enterprises with poor solvency, private enterprises, and enterprises in central and western regions with strong financing constraints, state-owned enterprises, and enterprises in eastern region with high credit risks all showed significant reversals, and the stock prices reflected the effect of the targeted RRR cut policy in the short and medium term. Over time, the pandemic has been controlled, and the resumption of work and production has freed most enterprises from financial difficulties. However, due to sporadic outbreaks, large private enterprises and eastern enterprises with strong risk resistance and loose financing constraints enjoy better stock price performance. This study is helpful for enterprises to understand the value of financial flexibility and solvency and provides a reference for enterprises to make financial decisions: how to balance the benefits and costs of solvency.

Analisis Rasio Keuangan Perusahaan Telekomunikasi yang Terdaftar di Bursa Efek Indonesia (BEI) pada Tahun 2016–2020

In today’s modern era, the development of telecommunications in Indonesia is experiencing very rapid development. For the development of the telecommunications industry in Indonesia, technology has a very vital role. This is because the development of telecommunications always follows the existing technology. Purpose: This examine goals to determine the monetary performance of telecommunications corporations in Indonesia, namely PT. Telekomunikasi Indonesia Tbk, PT. Indosat Tbk, PT. XL Axiata Tbk, PT. Smartfren Telecom Tbk in 2016 – 2020 in terms of 4 financial ratios, specifically liquidity, solvency, activity, and profitability. Methodology: Data analysis in this study uses data from the financial reports of four telecommunications companies listed on the Indonesia Stock Exchange. The research method uses by researchers is a descriptive quantitative methode. Results: The results of this study have a look 1) Liquidity ratio evaluation the use of the fast ratio indicates that the 4 telecommunications organizations are in destructive situation, 2) Solvability evaluation the use of the debt to asset ratio indicates that the economic overall performance of the four businesses is in adverse circumstance, 3) activity ratio analysis using overall asset turnover suggests the overall performance of the four organizations in adverse circumstance, 4) Profitability ratio evaluation the use of return on funding suggests that the 4 businesses have bad financial overall performance.

ASSESSMENT AND MANAGEMENT OF THE FINANCIAL POTENTIAL OF TOURISM AND HOSPITALITY ENTERPRISES

The most optimal multi-component algorithm for assessing and managing the level of financial potential has been developed based on the analysis of the integral indicator, which is an aggregate indicator of the financial condition, liquidity, solvency, profitability and competitiveness of enterprise under the existing market conditions. During the analysis and study of the financial potential of tourism and hospitality enterprises, it is determined that it is advisable to divide the concept into financial potential of sustainability and financial potential of development, and it is found that the latter is significantly influenced by direct and indirect environmental factors. In view of this, the most significant factors influencing the level of financial potential of an enterprise in the process of realization of its strategic goals and prospective development opportunities have been analyzed and identified. In addition, a list of possible measures aimed at increasing the level of financial potential of tourism and hospitality enterprises has been developed. It has been established that the financial potential of enterprises in the field of tourism and hospitality is one of the key factors that characterize entrepreneurial activity in accordance with the available financial resources, financial condition and competitive market positions of the subject of economic relations, as well as development opportunities and promising areas of activity in conditions of dynamic and unstable economic environment. The value is in the formation of a methodology for assessing the level of financial potential and developing possible actions to improve it. Further research is proposed to be carried out in the context of developing scientific and methodological provisions for optimizing the structure of the financial potential of tourism enterprises in the process of implementing strategic goals of functioning, as well as the prospects for applying GAP analysis to identify and decompose internal strategic gaps by the constituent elements of financial potential.

Trends, practices and outcomes of present positioning of financial planning and its future directions

Whether you consider a household or a corporate, financial planning is must as it assists in achieving financial goals, managing funds, and maintaining financial solvency. The paper summarizes a descriptive and analytical approach of research study on the awareness and importance of financial planning, investment planning of people, their financial goals and how do they plan to achieve them. The research was carried out on a convenience sampling method where the respondents were asked about their current income, number of dependents, and their saving and Investment pattern which leads to financial planning as whole.

Strategi Penanganan Pembiayaan Bermasalah di Bank Syariah

Sharia banks in Indonesia are currently experiencing significant developments, these developments must be followed by regulations and good banking management, including handling problem financing. It is undeniable that the financing business in Islamic banking has the potential to experience financing problems. The greater the problematic financing faced by banks, will reduce the soundness level of Islamic banks, decrease the quality of financing and the soundness of banks affect financial liquidity and solvency, which can ultimately affect the trust of depositors and even prospective customers. Not only that, the greater the amount of non-performing financing, the greater the amount of costs for reserve funds that must be provided so that it has a negative impact on profitability, because the losses borne by the bank will reduce profits which ultimately have a negative impact on Islamic bank capital. Related to this, this research was conducted using a qualitative method to analyze the factors that cause problem financing, as well as strategies for preventing and resolving problem financing in Islamic banks and finally being able to provide information to all parties, especially Islamic bank practitioners, about ways or strategies for handling and also solving problem financing.

Challenges and obstacles to issuing Islamic Sukuk in Palestine: an analytical study of Islamic banks operating in Palestine

PurposeThis study aims to shed light on the challenges and obstacles (organizational, economic, legal and legislative) to the issuance of Islamic Sukuk in Palestine.Design/methodology/approachThe descriptive analytical approach was adopted to collect data through a questionnaire that was distributed to a simple random sample of (500) male and female employees working in those banks.FindingsThe study concluded that the issuance of Islamic Sukuk in Palestine suffers from economic, legal and legislative challenges and obstacles. This includes the lack of interest in using it as a suitable financing tool to finance various economic projects, as it requires the presence of investors with high financial solvency in light of the low contribution of Palestinian legislation and laws to facilitate and encourage their issuance. Hence, there are no regulatory challenges or obstacles.Research limitations/implicationsFew studies examine the issuance of Sukuk in the Palestinian environment, despite the attempts of the Palestinian Monetary Authority to develop Islamic financing instruments.Practical implicationsThe necessity of subjecting the issuance of Islamic Sukuk in Palestine and all Islamic financing products to a unified body It is also important to work on spreading the Islamic financing culture related to their issuance, given its positive role in developing and providing the necessary funding for various projects.Originality/valueThe study identifies the level of challenges and obstacles facing the issuance of Islamic Sukuk in Palestinian banks by studying the organizational, economic, legal and legislative dimensions. The study attempts to explore this through the respondents’ opinions. It also focuses on emphasizing the role of this performance in economic development and supporting the elements of investment as a desirable financing alternative.

The Long Civil War: New Explorations of America's Enduring Conflict ed. by John David Smith and Raymond Arsenault

Reviewed by: The Long Civil War: New Explorations of America's Enduring Conflict ed. by John David Smith and Raymond Arsenault Cecily N. Zander (bio) The Long Civil War: New Explorations of America's Enduring Conflict. Edited By John David Smith and Raymond Arsenault. ( Lexington: University Press of Kentucky, 2021. Pp. 246. Cloth, $40.00.) In The Long Civil War, an arsenal of Civil War historians take on the challenge of defining (and redefining) the boundaries of the long Civil War era. Editors John David Smith and Raymond Arsenault dedicate the work to Randall M. Miller, whose contributions to the field have ranged from histories of slavery and Reconstruction to those of religion and the home front. Matching Miller's dedication to examining the depth and breadth of the field, volume contributors explore such diverse topics as abolition and colonization, soldier motivation and political rhetoric, the war's historical legacy, and the memory of the conflict; they stretch as far forward in time as Dwight David Eisenhower and Walt Disney in their efforts to show just how expansive the long Civil War era can be. Alongside the editors' desire to broaden the chronological scope of the Civil War era, Smith and Arsenault seek to "chart the variety of uses of the Civil War in contemporary culture" (3). Their project, they argue, reflects how expanding the war's temporal range helps historians to see "the maturation of its historiography" (5). The resulting ten essays, therefore, add historiographical significance to topics that were previously considered outside the traditional Civil War–era framework. Summaries of three of the ten essays will serve as representative of the volume and its relevance to multiple ongoing debates in the larger field of Civil War history. [End Page 129] Raymond Arsenault's essay on Walt Disney's historical films from 1946 to 1966 expands the history of the Civil War era into the realm of American studies. In this twenty-year period, Arsenault writes, Disney hoped to gain some financial solvency for his ailing studio by producing films that presented an "imaginative form of popular history" (198). Eschewing historical complexity for stories that imagined history as a boyhood adventure, and in pursuit of narratives that sounded notes of triumph, Disney avoided assigning winners and losers, leaving films such as The Great Locomotive Chase (1956) to depict both Union and Confederate soldiers as heroic, fighting for equally noble causes. Arsenault's work thus adds a new layer of understanding to the relationship between Civil War memory and popular culture, especially as they relate to the ideology of reconciliation. Paul A. Cimbala's essay on the officers who served in the U.S. Army Veteran Reserve Corps (VRC) should be essential reading for military historians. Cimbala's treatment of the corps, which was composed of men who could not fight because of combat injuries but were healthy enough to provide auxiliary support to Union armies, highlights the complicated politics that surrounded Civil War military service. Cimbala reveals an intriguing facet of the corps' duties that deserves further study: many of the VRC's officers remained in the army after the war and transitioned to work in the Freedman's Bureau during Reconstruction. These soldiers, Cimbala writes, "understood that the war would not be over until they had secured the fruits of victory" (66). This commitment to Reconstruction and emancipation set such officers apart from most of their comrades in arms, who did not embrace abolition readily (beyond its usefulness as a war measure), and identifies the VRC as a cohort to be taken seriously in studies of soldier politics and motivation. In her timely essay on the political rhetoric of suicide in the antebellum South, Diane Miller Sommerville adds a new dimension to scholarship on the politics of disunion and the degree to which Americans experienced secession as a visceral and wrenching trauma. The essay is a reminder of how nineteenth-century Americans viewed their nation as an exceptional symbol of democracy and liberty—a topic receiving just consideration in a variety of new works. Sommerville, however, reminds readers that one of the roles of the historian is to examine how words functioned and became freighted with extreme emotion...

Current trends in the financial solvency of the population

The article reflects the results of the analysis of the current state of affairs in the sphere of financial viability of the population of our country. In recent years, the expansion of the practice of lending to individuals has led not only to the emergence of more financial opportunities for the population to carry out monetary transactions, but also to an increase in accounts payable to banks and an increase in the amount of overdue payments. The analysis made it possible to conclude that every year the amount of loans grows in proportion to the amount of debt, which creates fertile ground for an increase in the number of precedents for the bankruptcy of individuals. Over a ten-year period, the debt on loans granted to individuals has increased dramatically, moreover, the analysis of the dynamics allows us to conclude that debt has grown steadily over the past ten years. Thus, at present, a situation has developed in which the legal regulation of the sphere of bankruptcy of individuals in our country has been worked out in less detail than the legislative procedures governing the bankruptcy of legal entities. In this connection, the procedure for regulating processes for recognizing the financial insolvency of an individual needs a large-scale study and consideration both from a legal point of view and from the economic component of regulating the lending market for citizens.

The Financial Performance and Solvency Status of the Indian Public Sector Banks: A CAMELS Rating and Z Index Approach

The Financial Performance and Solvency Status of the Indian Public Sector Banks: A CAMELS Rating and Z Index Approach

Research on financial early warning of listed companies based on factor analysis and logistic regression

The establishment of an accurate, effective, sensitive and stable financial crisis early warning model for listed companies has a role that cannot be underestimated for the stability and healthy development of China's financial order. In this paper, financial statements of listed companies in Shanghai and Shenzhen Stock markets from 2018 to 2021 were selected as sample data. On the basis of the four traditional financial indicators, namely profitability, solvency, operating ability and development ability, two new financial indicators, namely profit quality and market valuation, were added. The factor analysis method and binary Logistic regression method are combined to construct the financial early warning model of listed companies. The results show that the model has high fitting accuracy and discriminant ability, which proves that the financial indicators disclosed by listed companies can provide empirical basis for various stakeholders to provide an empirical basis for early warning of corporate financial risks.

PELATIHAN AKUNTANSI BAGI PENGELOLA KOPERASI DI DINAS PERDAGANGAN DAN KOPERASI (DINDAGKOP) UKM KABUPATEN DEMAK

The purpose of the financial statements is to provide an overview of the financial position and measure the financial performance of an entity in the period concerned. The main task of a financial manager is to help companies organize, manage, plan, evaluate matters related to company finances. The tools for analyzing financial reports are liquidity ratios, solvency ratios, and profitability ratios. Financial analysis and reports will later be used as a basis for making the right financial decisions. The problem with Cooperatives in Demak Regency is that there are still managers or administrators who are unable or lack mastery in compiling and analyzing their financial reports. The limited competence of human resources is one of the reasons for the low quality of the financial reports presented. This will have an impact on the postponement of the implementation of the Annual Member Meeting as well as decision making related to the performance of cooperative financial reports. The obligation of administrators to organize Annual Member Meeting becomes commonplace every year, in order to submit management and supervisor accountability reports to members for the management and supervision of cooperatives. Cooperatives require more understanding and training regarding the preparation of financial reports and performance analysis. The priority solutions are first, facilitating cooperatives in preparing cooperative financial reports, second, technical training in analyzing the performance of financial reports that are more adequate, and third, how to implement a cooperative's internal control system. Keywords: Financial Report Performance, Liquidity Ratios, Solvency and Profitability

Прогностическая аналитика финансовой безопасности с использованием отраслевой парадигмы и технологии больших данных

An approach to the development of an algorithm and methodological tools for predicting the financial security of companies is considered, based on the risk-based concept of international financial reporting and auditing standards, the Harvard paradigm of industry analysis, which has been developed in modern studies in the fi eld of sustainable development and risk-based methods, as well as on the use of mathematical and statistical tools and modern big data technologies in economic research. Th e practical novelty of the proposed methodological tools lies in the complexity of assessing the risks of financial solvency (risk factors of the probability of bankruptcy), which may be in demand in audit and arbitration practice.

Місце лікарів у системі ринку послуг Візантії IV–IX ст.

The article analyzes the position and status of medical and pharmaceutical staff in the Byzantine labor market and services. Their place in society and in the professional sphere is considered equal in essence and quality to that of the craftsmen — vanavsos. It is emphasized that in most cases they did not belong to slaves, as it was in the ancient Roman society, but to free, wealthy strata of the population, to those who were classified as euporus, endesters with an annual income of at least 25–50 solidi, and their salary allowed them to provide themselves with everything they needed. Paid visit to the doctor, iatraros was considered as a daily routine. Sometimes it took place at public cost, mainly in the capital of the Roman Empire in the early Byzantine period, but also among monks. Getting into the ranks of medical professionals was limited only by the financial solvency of those who studied this craft, unless, of course, it was inherited from father to son. In the Byzantine Empire in the IV–IX centuries, medical services were provided both in private, paid, and at the state, public levels.

A Semantic Model for Enhancing Data-Driven Open Banking Services

In current Open Banking services, the European Payment Services Directive (PSD2) allows the secure collection of bank customer information, on their behalf and with their consent, to analyze their financial status and needs. The PSD2 directive has lead to a massive number of daily transactions between Fintech entities which require the automatic management of the data involved, generally coming from multiple and heterogeneous sources and formats. In this context, one of the main challenges lies in defining and implementing common data integration schemes to easily merge them into knowledge-base repositories, hence allowing data reconciliation and sophisticated analysis. In this sense, Semantic Web technologies constitute a suitable framework for the semantic integration of data that makes linking with external sources possible and enhances systematic querying. With this motivation, an ontology approach is proposed in this work to operate as a semantic data mediator in real-world open banking operations. According to semantic reconciliation mechanisms, the underpinning knowledge graph is populated with data involved in PSD2 open banking transactions, which are aligned with information from invoices. A series of semantic rules is defined in this work to show how the financial solvency classification of client entities and transaction concept suggestions can be inferred from the proposed semantic model.

An exploration of structural determinants driving racial disparities in COVID-19 deaths in Michigan.

Racial disparities in COVID-19 death rates have largely been driven by structural racism in health, housing, and labor systems that place Black, Brown, and Indigenous populations at greater risk for COVID-19 exposure, transmission, and severe illness, compared to non-Hispanic White populations. Here we examine the association between taxable property values per capita, an indicator influenced by historical and contemporary housing policies that have disproportionately impacted people of color, and COVID-19 deaths. Taxable values serve as a proxy for fiscal health providing insight on the county's ability to address imminent needs, including COVID-19 responses. Therefore, higher taxable values indicate local governments that are better equipped to deliver these public services. We used county-level data from the American Community Survey, the Michigan Community Financial Dashboard, The Atlantic's COVID Tracking Project, and the Community Health Rankings and Roadmap for this cross-sectional study. Maps were created to examine the geographic distribution of cumulative death rates and taxable values per capita, and regression models were used to examine the association between the two while controlling for population density, age, education, race, income, obesity, diabetes, and smoking rates. Seventy-five counties were included. The mean taxable value per capita was $43,764.50 and the mean cumulative death rate was 171.86. Findings from the regression analysis showed that counties with higher taxable values were associated with lower COVID-19 death rates (B = -2.45, P < 0.001). Our findings reveal a need to reevaluate current policies surrounding taxable property values in the state of Michigan, not solely for theirinequitable impact on local governments' financial solvency and service quality, but also for their negativeconsequences for population health andracial health equity. The online version contains supplementary material available at 10.1007/s10389-022-01817-w.

Evaluation of Financial Performance Indicators and Their Impact on the Solvency of the Iraqi General Insurance Company for the Period (2016-2020)

Due to the privacy of insurance, there are many financial and economic indicators for companies operating in the insurance industry. Hence the importance of the study through knowing the most important indicators for evaluating the financial performance of companies operating in the insurance industry and their differences from the indicators used for companies operating in other industries. For the purpose of answering the problem of the study, which is to know the most important indicators used in the process of evaluating financial performance and their impact on the financial solvency of the Iraqi general insurance company, the hypothesis of the study was formulated to determine the relationship between financial performance indicators and the financial solvency of the company. The Iraqi General Insurance Company was chosen as the research sample as it is the second largest and oldest insurance company in Iraq in terms of insurance premiums, investments and profitability. The results of the study showed a fluctuation and decrease in insurance premiums in general, and an increase in the solvency ratio during the study years. Among the recommendations of the study, the company's management should increase the activities of its insurance operations from premiums and various investments, and also strive to increase the company's capital, which enhances the required technical reserves and is reflected in its ability and required financial solvency.

ЕКОНОМІЧНА ДІАГНОСТИКА ТА ТЕНДЕНЦІЇ ВИКОРИСТАННЯ ПОЗИКОВОГО КАПІТАЛУ У БОРОШНОМЕЛЬНО-КРУП’ЯНІЙ ПРОМИСЛОВОСТІ УКРАЇНИ

The article examines the dynamics, state and structure of the total and borrowed capital of the enterprises of the flour and cereal industry of Ukraine for the period 2013–2021. It has been proved that an enterprise that focuses only on the use of its own capital significantly narrows the possibilities of increasing its profitability, being unable to quickly increase production volumes under favorable market conditions. It is shown that the use of borrowed capital provides enterprises with significant direct and indirect benefits. It is noted that when using borrowed capital, certain threats should be taken into account, the main of which is the increased risk of reducing their financial stability and solvency. It is shown that the effective management of borrowed capital of enterprises can provide additional income to the economic turnover, increase the profitability of the production process, and increase the market value of the enterprise. General trends in the use of both total capital and borrowed capital of industrial enterprises are revealed. The periods of sustainable development of enterprises of the flour and cereals industry of Ukraine are determined, which correspond to 2015–2017. An assessment of the financial stability of the enterprises of the flour and cereals industry of Ukraine was carried out according to a system of indicators, including indicators of autonomy, financing, sustainability of financing and financial leverage. It was found that only in 2015 during the study period, the financial stability of the enterprises of the flour and cereals industry met the standard indicators. A crisis period has been defined for flour and cereals industry, which corresponds to 2020–2021. It is proved that the main problem of domestic enterprises of the flour and cereals industry is the low level of financial stability indicators, due to the insufficient amount of equity capital to finance the activities of enterprises and the high dependence on borrowed capital. It has been proved that for the majority of enterprises of the flour and cereals industry, the topical issue is the optimization of the capital structure.