Net assets represent the amount of the company's equity, free from all debt obligations. This indicator characterizes the financial stability of the company and its ability to pay dividends and fulfill its obligations. Net assets are calculated as the difference between certain amounts of assets and liabilities.
Instructions
Step 1
Determine the amount of assets that are taken to calculate net assets. To do this, use the balance sheet of the company for the reporting period. It is necessary to determine the amount of intangible assets, fixed assets, construction in progress, long-term and short-term financial investments, profitable investments in tangible assets. Also, non-current assets, available stocks, accounts receivable, VAT on acquired values, current assets and cash are taken into account. At the same time, it is necessary to deduct from the amount received the arrears of the participants in contributions to the authorized capital and the actual costs of buying out their own shares.
Step 2
Calculate the amount of the company's liabilities taken to calculate net assets. They consist of long-term and short-term commitments for loans and borrowings, accounts payable, arrears of income to participants and reserves for future expenses. Add to the amount received also the deferred tax liabilities and the provisions for contingent liabilities and discontinued operations.
Step 3
Find the value of the net assets of the enterprise, which is equal to the difference between certain assets and liabilities. This calculation scheme was adopted by Order of the Ministry of Finance No. 10-n dated January 29, 2003.
Step 4
Analyze the resulting value of net assets. If in the reporting period it turned out to be less than the amount of the authorized capital, then the founders must decide to reduce it to the amount of net assets. If this amount is less than the minimum established by law, then a decision may be made to liquidate the enterprise.
Step 5
Calculate your net worth on a quarterly basis and tuck your grand total at the end of the year. Disclose the resulting value in the annual and interim financial statements.
