Improvement of the procedure for integral assessment of the financial and corporate state of share-based societies

Alieinikova Nataliia ()
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Alieinikova Nataliia: Simon Kuznets Kharkiv National University of Economics

Technology audit and production reserves, 2(40) 2018, 2018, vol. 2, issue 4(40), 38-43

Abstract: The object of research is determination of the level of the financial and corporate condition of joint-stock companies. One of the most problematic areas is the identification of the level of available opportunities or undisclosed reserves of the state of joint-stock companies to determine the impact on their value. To create a system of indicators of the financial and corporate state of joint-stock companies, the content analysis method is used. The selection of the most influential indicators or the financial and corporate state of joint-stock companies is carried out using the multiple regression method. The evaluation of the financial and corporate condition of joint-stock companies is proposed to be carried out in the context of three components: property, financial and corporate status, using a ballistic approach to determining the integral indicator. The key point in assessing the financial and corporate condition of joint-stock companies is the development of a score scale of assessment and criteria of compliance (optimality). In order to obtain comparative data, the standardization procedure for scoring is used. In the course of the study, the methods of scores, integral evaluation and multiple regression are applied. Approbation of the proposed procedure for assessing the financial and corporate condition is carried out for eight joint-stock companies of the Kharkov region (Ukraine), with a definition of the state first for each component, and subsequently its overall integral value. Classification levels of the financial and corporate state of joint-stock companies are obtained. This is due to the fact that the proposed procedure for assessing the financial and corporate state has a number of features, in particular: the definition of the most significant indicators-assessment indicators and the integral level of both the property, financial, and corporate status of joint-stock companies. Due to this, it is possible to determine the level of the financial and corporate state of joint-stock companies from low to high by establishing appropriate criteria. In comparison with similar known methods of assessing the state of societies, this will contribute to an accurate, objective and impartial identification of strategic opportunities and reserves for growth and increment of the value of joint-stock companies. The materials of the conducted research prove that without proper justification of indicators-indicators of the financial and corporate state of joint-stock companies, its reliable estimation is impossible.

Keywords: financial and corporate state; joint-stock company; integral estimation; financial ratios; scoring indicators system (search for similar items in EconPapers)
JEL-codes: O16 (search for similar items in EconPapers)
Date: 2018
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