analysis of the income and expenses of organization characterizes the company's financial condition at the end of the reporting period.It reflects the data on revenues, expenditures and other financial results.An analysis of the costs and revenues of the enterprise is the external users with information about the sources of profit or loss on the causes and reveals the overall picture of the performance of the company.
analysis of revenues and expenses is used not only to evaluate the results of its operations for the reporting period, but also for the prediction of its future activities.The forecast of future performance is very meaningful to investors because it is an opportunity to profit in the future, a positive forecast for the creditors, primarily means the possibility of the payment of the debt with interest.If the activity of the company is expected to unprofitable, the situation is assessed as the inability to repay the debt with interest, and it is unlikely the bank will accept a loan issue of the organization.Composing analysis of revenues and expenses necessary to observe a number of requirements, which are used for a more accurate forecast of the company.The requirement to provide information on the discontinued activities, transactions with refined persons, on the establishment of segmental reporting, the reflection of events and conditional facts.These and other facts allow us to make an accurate prediction of the enterprise for the future.Analysis of the income of the organization to determine the profitability of the company and to plan its revenues.
obtain reliable information about the activities of the facility for the previous period can learn to develop good management decisions, program and business plans for the future.In a market economy it is important to calculate the financial stability of the company, that is, to ensure that state funding for which can be freely manipulated funds and to ensure their use in the production process smooth and seamless implementation of the product.The boundaries of the financial sustainability of the organization are considered to be the most important factor in a market economy.Lack of financial stability leads to insolvency, to a shortage of funds, and eventually bankruptcy.Excessive financial stability slows down development, reducing profits and increasing capital turnover periods.
analysis of revenues and expenses of the organization makes it possible to justify the parameters of this stability, but makes it impossible to judge the financial condition of the company at the moment.An analysis of income and expenditure is always required, regardless of the economic relations.The urgent need for such an analysis arises when there is a transformation and reorganization of enterprises or organized legal structures.It is associated with the processing of a wide range of information on the activities of the enterprise, which are most often used in the documents of the financial statements.Moreover, these data do not affect the judgment on the state of affairs in the company, but their precise analysis needs treatment.
Its main goal is to get the main informative parameters that give an accurate and objective picture of the income and expenses of the enterprise for a certain period.Motion Analysis of finance allows us to give a comprehensive evaluation of all economic activity and keep track of the main trends of its development.An analysis of income and expenses of the organization - an important part of the strategic plan, according to which the company can comfortably exist for a long time.
