Liquidity is an indicator of the reliability of an enterprise, the degree of its solvency. Accordingly, the higher the liquidity, the more confidence the company is.
It is necessary
Enterprise balance
Instructions
Step 1
To determine the liquidity indicators of the enterprise, data from the financial statements are used. Liquidity is the nominal ability of a company to pay off its current debt only at the expense of current assets. Distinguish between current, fast and absolute liquidity.
Step 2
Current liquidity (coverage ratio) is the ratio of the volume of current assets of OA minus long-term receivables from DZ and the debt of the company's founders to contribute to the authorized capital of ZUK to current TP liabilities (short-term liabilities). To calculate, use the following formula: K1 = (OA - DZ - Zuk) / TP, where K1 is the current liquidity ratio. Take the data from the balance sheet, form 1: K1 = (lines 290 - 230 - 220) / (lines 690 - 650 - 640)
Step 3
It is considered that the current liquidity is within the normal range if the value of the indicator fluctuates in the range from 1.5 to 2.5 (depending on the industry of the enterprise). If the coefficient is less than 1, then the financial capabilities of the company are unstable, there is a high financial risk.
Step 4
Fast liquidity - the possibility of urgent debt repayment in an emergency due to highly liquid current assets (short-term financial investments, cash, etc.). Mathematically, this is the ratio of the volume of current assets with high liquidity of the TA minus the inventories of the MPZ to the current liabilities of the TP. Use the formula: K2 = (TA - MPz) / TP.
K2 = (lines 240 + 250 + 260) / (lines 690 - 650 - 640).
Step 5
Absolute liquidity - repayment at the expense of only free cash or assets equivalent to them. The coefficient is equal to the ratio of the sum of cash assets of the DS and short-term investments of KV to the current liabilities of the TP. Use the formula K3 = (DS + KV) / TP. K3 = (lines 260 + 250) / (lines 690 - 650 - 640). It is considered that the value of the indicator is within the normal range if it is greater than 0, 2, i.e. twenty%.
