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- Title
EKONOMSKA ANALIZA RAČUNOVODSTVENIH POKAZATELJA U FUNKCIJI DONOŠENJA ODLUKE O KREDITU I ZADUŽIVANJU.
- Authors
Mihajlović, Ljiljana Stošić
- Abstract
The process of making a decision on borrowing on the basis of loans and credits is based on very complex procedures that include many reports originating from the company's accounting sector and are crucial in the analysis of the company's decision on borrowing on the basis of credit. Also, on the side of creditors, numerous accounting surveys of credit analysis are also conducted, where the financial and market aspects of the business of companies applying for credit are systematically processed. A detailed analysis of the financial statements crucially influences the creditors to make a positive decision on approving the loan. This analysis is combined with other analyzes (eg on the market potential of the borrower), on the basis of which the decision on (non) approval of the loan is made. Special attention is paid by credit analysts to the method of determining and in general the effect of potential risks on the company's operations. In the process of applying for a loan with credit institutions (usually in a bank), the company must provide accounting documentation, but also participate in the loan approval process together with the loan service, providing the necessary information about its business, necessary for decision making. The procedure includes an analysis of all relevant features of the company's business portfolio, which have an impact on credit decision-making. The procedure in particular includes an analysis of the market and the industry in which the company operates predominantly. Financial analysis is conducted by calculating ratios for a period of at least the previous three years. Credit analysis officers deal specifically with the potential risks to which the borrower is exposed in his business, in order to make it easier for decision-makers to approve loans to make a decision on approving loans to the company. This paper discusses the economic analysis of accounting indicators in the function of making a decision on a loan, from the point of view of creditors, most often commercial banks. The aim of this paper is to point out the importance of purposeful analysis of accounting indicators, especially financial statements, on the basis of which the analysis of business performance is performed, with the aim of making decisions on lending or approving loans by creditors by management. The methodology applied during the preparation of this paper is suitable for research in the social sciences, in general, but also specifically for the field that the paper explores, and these are specific accounting techniques and elements needed for economic analysis. The results we obtained during the research confirm the goal of the research: up-to-date, qualitative and quantitative accounting of business changes is the only real basis on which operations with data from accounting reports are possible, which are related to economic analysis of business changes and business flow planning. Well-organized accounting business with timely and reliable accounting coverage of business changes provides good information for business analysis and, more importantly, the basis for planning future business activities, which is the main conclusion of this paper. The recommendation for future research, but also for business practice, refers to the constant insistence on efficient and effective analysis of financial statements in the segment related to lending and decision-making on corporate borrowing in the financial market.
- Publication
Knowledge: International Journal, 2022, Vol 51, Issue 1, p59
- ISSN
2545-4439
- Publication type
Article