New Applications of the Annual Fiscal Accounting Analysis at the Risk Assessment

DOI

10.2991/cmdm-18.2019.11How to use a DOI?

Keywords

risk assessment, system analysis, fiscal accounting

Abstract

The new applications of annual fiscal accounting analysis at the risk assessment are discussed in this paper. The system analysis methods that can be used to identify the industry or sector of the companies based on their annual fiscal accounting are described. All necessary calculations and computer modeling can be made in the special computer program named The universal cognitive analytics system ``Eidos''. The industry or sector identification make possible ~conflict data processing and review of supplier and contractors for identification their main type of economic activity in order to exclude the risk of contracting with an unreliable company. It is very important when choosing a supplier or contractor, and also when banks or credit unions make decisions about the issuance of loans. Other application is financial analysis with taking in to account industry or sector specific in order to make adequate opinions about financial sustainability statement of company or vice versa. Taking into account industry or sector specific make possible to reliably forecasting bankruptcy and assessment of enterprise value for example in cases of mergers and acquisitions. One of the promising applications is the identification of the life cycle stage of the company. An example of the characteristic structure of the balance sheet of Russian construction companies is shown. It is also shown that traditionally recommended ranges of financial ratios are not characteristics of them. The linear equation to assessment of enterprise value of Russian construction companies is shown. Such equation could be used as industry formulas method of business valuation. All applications could reduce the risks of stakeholders and improve the efficiency of decisions making process.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Alexander Alekseev
AU  - Irina Alekseeva
AU  - Alexandra Noskova
AU  - Victoriya Kylosova
AU  - Alena Knyazeva
PY  - 2019/02
DA  - 2019/02
TI  - New Applications of the Annual Fiscal Accounting Analysis at the Risk Assessment
BT  - Proceedings of the Third Workshop on Computer Modelling in Decision Making (CMDM 2018)
PB  - Atlantis Press
SP  - 61
EP  - 66
SN  - 2352-538X
UR  - https://doi.org/10.2991/cmdm-18.2019.11
DO  - 10.2991/cmdm-18.2019.11
ID  - Alekseev2019/02
ER  -