Financial Risks Assessment and Control of the Bankruptcy Probability of a Company
- DOI
- 10.2991/icefb-19.2019.19How to use a DOI?
- Keywords
- audit; risks; business continuity; bankruptcy; analytical tools; Due Diligence; financial security
- Abstract
The purpose of this study is to develop analytical tools to assess and predict the likelihood of bankruptcy, as well as the possibility of its use in financial and consulting technology Due Diligence. The proposed methodology for assessing and forecasting the risks of financial insolvency of a company includes four stages: assessment of financial results; solvency assessment; identification and calculation of financial risks and verification of comparability of results with similar estimates using well-known forecast models; development of a calculator for forecasting and evaluating financial indicators for positioning changes in the level of bankruptcy risk. Recommended areas of application of this technique: audit and consulting activities, improvement of the practice of using tools for implementing international audit standards for self-regulatory organizations of auditors and audit companies; development of the Due Diligence technology to justify the choice of companies - borrowers, companies participating in tenders and exchanges, as well as in systems of internal audit, internal control, financial control of business processes.
- 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/).
Cite this article
TY - CONF AU - Nataliya A. Kazakova AU - Marina P. Bobkova AU - Anna E. Sivkova AU - Irina Kuzmina-Merlino PY - 2019/12 DA - 2019/12 TI - Financial Risks Assessment and Control of the Bankruptcy Probability of a Company BT - Proceedings of the External Challenges and Risks for Russia in the Context of the World Community’s Transition to Polycentrism: Economics, Finance and Business (ICEFB 2019) PB - Atlantis Press SP - 76 EP - 79 SN - 2352-5428 UR - https://doi.org/10.2991/icefb-19.2019.19 DO - 10.2991/icefb-19.2019.19 ID - Kazakova2019/12 ER -