Tools for assessing the financial stability of the enterprise

This article describes in detail one of the main tools for assessing the financial stability of an enterprise.The study describes a method for analyzing the financial stability of an enterprise based on relative indicators: itsown working capital, the aggregate of its own and long-term funds, the total amount of sources for the formation ofreserves and costs of an economic entity, and shows practical calculations on the example of an economic entity. Thestudy reveals the essence of the method for determining one of the four types of financial situation: absolute stability,normal stability, unstable and crisis financial condition. The types are characterized based on the values of the three-component indicator of financial stability. Based on the results of the analysis of financial stability based on relativeindicators, conclusions and proposals are made, with emphasis on the stabilization of the financial situation. Theadvantages and disadvantages of using the studied tool for assessing the financial stability of the enterprise are alsohighlighted.