Corporate solvency analysis文档.docVIP

Corporate solvency analysis [Abstract] With the global economic integration and the development of a modern credit economy, debt management has become an important means of financing a modern enterprise and strategy. The rational use of leverage, financial leverage to bring benefits to the enterprise, effectively improve the return on equity, but at the same time, the debt will also give enterprises the potential financial risk, or even the risk of bankruptcy. In the investment before the solvency of the business analysis, enterprise predict risk and protect business interests in an effective way. [Keywords:] short-term liquidity factors affecting long-term solvency capital structure 1, short-term solvency analysis 1. Short-term liquidity is mainly manifested in corporate debt maturity the relationship between the disposable liquid assets, the main measure of a current ratio, quick ratio. (1) The current ratio is the ratio of current assets to current liabilities. The current ratio reflects the company’s liquid assets available to pay current liabilities of the extent of the greater liquidity ratio, indicating the stronger the short-term solvency. If a company current ratio increased year by year, then the short-term solvency tends to improve and enhance the contrary, then the short-term solvency tends to reduce business risk has increased. (2) The quick ratio is the liquid assets to current liabilities ratio. The higher the ratio, indicating the stronger the solvency of enterprises. Generally considered that the ratio of the value of a more reasonable. 2. The existing solvency analysis, current ratio, quick ratio are all built on the liquidation basis rather than on the basis of continuing operations. However, enterprises must survive all the current assets can not be realized to repay current liabilities, it is not possible to realize all its assets to repay corporate debt. (1) Cash generated from operating activities in the capacity of Enterprises in