Evaluation of cash formation of the enterprise for the purpose of effective management of its financial activity

One of the main tools for the sustainable operation of enterprises in modern conditions, improving the financial condition and efficiency is the process of managing funds, because they are the material basis for the production and efficient use of resources. Therefore, it should be noted that any planning, forecasting and control over the company's cash is impossible without their prior assessment, analysis.

The analysis of cash of the enterprise is a process of research of system of indicators, their formation at the enterprise, revealing of the basic tendencies and laws for clarification of reserves of the further increase of efficiency of their management.

The main purpose of cash analysis is to identify the level of adequacy of cash flows, efficiency of their use and balance and synchronicity of positive and negative cash flows of the enterprise.

The main tasks of cash analysis are:

• •    identification of trends and patterns of development of cash flows of the enterprise;

• •    assessment of the degree of their rational use;

• •    detection and timely prevention of the possibility of bankruptcy of the enterprise;

• •    study of factors and forecast of balance and synchronicity of cash flows in terms of volume and time to ensure the solvency of the enterprise;

• •    search for reserves to increase the efficiency and intensity of the use of cash flows in the process of operating, investing and financing activities.

The main principles of cash analysis include:

• •    complexity - is to cover all the necessary indicators for a comprehensive study of cash;

• •    systematic - is the study of money as components of a dynamic system, the elements of which are interconnected and with the external environment;

• •    correctness - is to use those indicators that are appropriate and appropriate in the analysis of cash, and the correctness of their calculations. The number of required indicators must meet the real needs of the enterprise in cash flow management;

• •    consistency - is the gradual analysis of cash, which allows you to gradually deepen and summarize the results of the analysis;

• •    systematization - is the need to plan analytical work and conduct it regularly;

• •    speed - is the clarity of the analysis, as well as the timely management of information about cash to act to correct the situation;

• •    interpretability - is to justify the permissible limits of analytical indicators, which will quickly and correctly interpret the results of the analysis;

• •    efficiency - is to identify imbalances between funds and establish the causes of their occurrence, increase the efficiency of their management. The cost of conducting a cash analysis should have a multiple effect.

The main methods (tools) of cash analysis include:

• •    logical methods of information processing (comparison, relative and average values, graphical and tabular presentation of data, grouping, balance sheet, heuristic methods);

• •    methods of deterministic factor analysis (chain substitution, absolute differences, relative differences, integral, logarithm);

• •    methods of stochastic factor analysis (correlation analysis).

According to the signs of time, the analysis of cash is divided into:

• •    retrospective analysis - carried out after the completion of business transactions. It provides an opportunity to study trends in cash development, monitor the implementation of plans, assess the real state of cash and identify imbalances. Retrospective analysis is divided into operational and final. Operational analysis is performed immediately after the business transaction or at short intervals (change, day, decade). The final analysis is carried out by studying the results of work for the reporting period (month, quarter, year);

• •    prospective analysis of cash is carried out before the implementation of business transactions. It is needed to substantiate business plans and forecasts. Perspective analysis is divided into short-term and long-term (strategic). Shortterm covers a period of up to 1 year, and long-term more than 1 year.

The depth of cash analysis is determined by the requirements of management staff and is divided into:

• •    rapid analysis, which is based on the identification of typical features that allow you to quickly and accurately determine the nature of the processes

that occur without performing in-depth research that requires additional time and resources;

• •    in-depth analysis is an in-depth comprehensive study with a wide range of analytical indicators that are studied.

According to the degree of coverage of the objects of cash analysis, it is divided into continuous and selective:

• •    in a continuous analysis of cash flows, all monetary assets are studied without exception;

• •    a sample analysis examines some of the objects, which allows you to speed up the analytical process.

The basis for the analysis of cash is information sources from the subsystems of accounting, auditing and external sources of information. The accounting subsystem provides analysts in the process of cash flow analysis with the necessary indicators of financial accounting, indicators of management accounting, indicators of analytical accounting and regulatory and planning indicators. The function of the audit subsystem is to provide the analytical process with reliable and objective data on cash flows.

The information coming from the external environment seriously affects the analysis of cash flows and contains such data as: regulatory, macroeconomic situation in the country, industry development data, economic and legal data, data on contractors of the enterprise (suppliers, buyers); data on competitors of the enterprise; data on the state of the material market; data on the state of the capital market; data on the state of the stock market; scientific and technical information.

In the results of cash flow analysis are interested not only internal (management, owners), but also external users (regulators, investors, creditors). The data processing technology largely depends on the choice of the enterprise, but preference should be given to automated systems that improve the quality of analysis.