Based on the results of the analysis of the composition, structure and dynamics of the enterprise's accounts payable, we can conclude that in general the situation in the sphere of payment and settlement relations between the enterprise and its creditors does not pose a significant threat to the stability of the enterprise's financial condition. However, the growth dynamics of both creditors and accounts receivable indicates the need for close attention of management to the organization of payment and settlement relations.
Therefore, as ways to reduce accounts payable in the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU, the following can be distinguished:
1) Create an accounts payable budget.
Enter the following information into your accounts payable budget:
Debt balances at the beginning of the period;
The amount of debt from previous periods payable in the current period;
Payment of current period debt to creditors;
Payment of other debts of the current period to creditors;
Advances received for future shipments;
Debt of the current period due in the next period;
Debt balances at the end of the period.
It is necessary to determine by calculation the balance of accounts payable at the end of the period.
2) Analyze the ratio of accounts receivable and accounts payable.
The ratio of accounts receivable and accounts payable characterizes the financial instability of the company. In practice financial activities Russian companies often face a situation where it becomes unprofitable to reduce accounts receivable without changing accounts payable. Reducing accounts receivable reduces the coverage ratio. The enterprise acquires signs of insolvency and becomes vulnerable to tax authorities and creditors. Therefore, it is necessary to solve not only the problem of reducing accounts receivable, but also balancing it with accounts payable. In this case, it is important to study the terms of the commercial loan provided to the company by suppliers of raw materials.
3) Development of measures to improve the efficiency of accounts payable management.
The activities of any enterprise are related to the acquisition of materials and products. If payments for products are made on the terms of subsequent payment, like the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU, we can talk about the enterprise receiving a commercial loan from its suppliers. The company itself acts as a creditor to its buyers and customers, as well as suppliers in terms of advances issued to them for the upcoming delivery of products. Therefore, the extent to which the terms for which a commercial loan is provided to an educational farm corresponds general conditions its production and financial activities depend on the financial well-being of the enterprise.
The fact that the accounts payable of the FSUE Educational and Experimental Farm "Milovskoye" BSAU is repaid earlier than the specified period indicates that its own working capital, and if it was insufficient, additional financial resources from the outside.
In order for relations with creditors to be as consistent as possible with the security objectives financial stability(security) of the organization and increasing its profitability and competitiveness, it is necessary to develop a clear strategic line regarding the nature of attracting and using borrowed capital.
The main point in managing accounts payable is meeting repayment deadlines borrowed money, since when fines and sanctions are imposed, of course the amount of revenue will decrease, but at the same time the business reputation of the enterprise will suffer and, as a result, there is a risk of the latter terminating cooperation with suppliers and contractors.
In the process of analyzing accounts payable, the fact is revealed that the price of a commercial loan can be comparable to the price of loans and borrowings, and in some cases significantly exceeds the cost financial obligations enterprises.
We will calculate the economic efficiency of using suppliers' offers to pay for the products provided and a commercial loan.
Thus, an agreement was concluded with the counterparty FSUE Educational and Experimental Farm "Milovskoe" BSAU, the contract price was 1,500 thousand rubles. Moreover, according to the supplier’s terms, if payment is made within 10 days from the date of delivery, the buyer is given a 3% discount. Thus, the amount payable if paid within 10 days will be 1,455 thousand rubles.
Since the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU did not have funds in the amount of the contract price and after 10 days the picture did not change, a month later the company made payment for the supplied products in full - 1500 thousand rubles.
When lending from a bank, the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" BSAU receives loans at 17% per annum, which makes short-term loans much more attractive. This indicates the ineffectiveness of accounts payable management at the enterprise.
Therefore, we next calculate the amount of release Money, when receiving a loan from a bank for the amount of the concluded agreement, i.e. the opportunity cost to society of using the money that a business owes to a supplier.
So, if a company issues a loan from a bank for 30 days at 17% per annum, the rate will be: i = [(1 + 0.17 * 30/360) * 30/360 - 1] / (30/360) = 1.35%.
Then the amount to be paid will be: 150,000 * 1.35% = 1,480 thousand rubles.
Economic efficiency when using the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" BSAU, the commercial loan for settlements with the supplier will be: 1480 - 1455 = 25 thousand rubles.
CONCLUSION
Accounts payable are liabilities that may include the amount of debts payable by an organization to other legal and individuals as a result of economic relations with them and invoices due in connection with supplies on credit or payment in installments.
Monitoring the status of accounts payable is an important part of managing the company as a whole, since if handled skillfully, such debt can become an additional, and most importantly, cheap source of raising borrowed funds. The effectiveness of using the funds received largely depends on how relationships with counterparties are built, the terms of concluded contracts are agreed upon, and the terms of their payment are monitored. Debt analysis is an integral part of assessing the liquidity of an enterprise and its ability to repay its obligations.
The object of the study is the financial and economic activities of the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" of the Belarusian State Agrarian University of the Ufa region of the Republic of Bashkortostan. The enterprise was formed in order to carry out scientific and scientific-technical activities in the agro-industrial complex and make a profit.
During the analyzed period, the assets of the FSUE Educational and Experimental Farm "Milovskoye" BSAU decreased by 2.0% or by 1555 thousand rubles. It can be concluded that the organization has lowered its economic potential. From the point of view of the asset structure, the observed decline occurred both due to a decrease current assets by 28.92% or by 6416 thousand rubles. At the same time, there is an increase non-current assets by 8.77% or by 4861 thousand rubles.
In the structure of the assets of the balance sheet of the FSUE Educational and Experimental Farm "Milovskoye" BSAU, a significant share belongs to non-current assets. At the end of 2013, the value of non-current assets amounted to 79.26%; there is a tendency to increase the share of this type of assets. The share of current assets of the FSUE Educational and Experimental Farm "Milovskoye" BSAU decreased and at the end of 2013 amounted to 20.74%. There is a tendency for the share of this type of asset to decrease.
For the period 2011 – 2013 sum of sources equity organization increased by 0.19%, and the amount of sources of borrowed capital of the organization decreased by 10.53%. It is believed that threshold value the share of equity capital in the total volume of sources of funds is 50%. And in the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" BSAU the share own funds in 2013 is more than 50% (81.32%), then we can say that by selling assets owned by the enterprise, the enterprise will be able to fully repay its debt to various creditors.
Indicators characterizing financial condition farms generally satisfy the acceptable coefficients. This suggests that the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU is able to pay its debts, but for a certain period. In general, the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" BSAU is a solvent farm. The likelihood of bankruptcy is low.
At the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoye" BSAU, accounts payable decreased by 3,050 thousand rubles. or by 19.22%. The educational farm has only short-term accounts payable. This decrease is characterized by a decrease in the debt of suppliers and contractors by 17.50% or by 798 thousand rubles, as well as other debt by 40.81% or by 3324 thousand rubles. During the analyzed period, debt on taxes and fees increased by 33.86% or by 1072 thousand rubles. The largest share in the composition of short-term accounts payable is occupied by other debt: 2011 - 51.33%, 2012 - 33.33%, 2013 - 37.61%.
There are no overdue receivables in the analyzed period.
The turnover period of accounts receivable exceeds the period of repayment of accounts payable. This trend can lead to a deterioration in the financial condition of the enterprise, therefore it is necessary to strictly monitor the ratio of receivables and payables at the enterprise in the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU. Note that the amount of accounts payable far exceeds the amount of accounts receivable, which negatively affects the liquidity of the enterprise.
The accounts payable turnover ratio increased by 0.06, including due to a decrease in costs products sold the turnover ratio increased by 0.10, and due to a decrease in accounts payable, the turnover ratio decreased by 0.04.
The following can be identified as ways to reduce accounts payable in the Federal State Unitary Enterprise Educational and Experimental Farm "Milovskoe" BSAU:
Prepare an accounts payable budget;
Analyze the ratio of accounts receivable and accounts payable;
Development of measures to improve the efficiency of accounts payable management.
Let's start with the fact that there is no magic wand. Taking out a loan, then not paying and happily forgetting about everything will not work. The question is what are you willing to give: time, nerves, credit history, property or even more money and even a job.
Let's see what options there are other than the debt trap.
1. Debt restructuring
Restructuring is a change in the terms under which you repay the loan. Most often, borrowers ask to reduce obligatory payment, which must be given to the bank every month. Then it turns out that the burden on the personal budget is lighter, which means that you can continue to repay the loan, without delays.
But the bank does not make such concessions for nothing; it puts forward counter conditions. For example, it extends the payment period. That is, you have to pay less every month, but there will be many more of these months. And since interest is accrued for the entire duration of the loan, the total amount that will have to be paid to the bank increases.
When will it work
When you are a good payer, but you have temporary difficulties. You will soon overcome them and you can prove it: bring certificates to the bank, show a good one.
What do I need to do
- Contact your bank before you miss a required payment. This will show that you know how to evaluate financial situation and don't try to hide from the bank.
- Collect Required documents and provide them to the bank. Which ones are decided differently in each case, this needs to be discussed with the manager.
Why is this bad?
The main disadvantage of this approach is that the debt itself does not decrease. It's more likely to grow. But you have the opportunity to pay it off, and not fall into a debt hole.
In addition, the bank may not meet you halfway. Then you will have to look for other options for repaying the loan.
2. Debt refinancing
The word “refinancing” is similar to “restructuring”, but they have completely different meanings. Restructuring is when you agree with the bank that you will repay the loan in a new way.
This is when you take new loan to pay off an old one (or several old ones). It is assumed that the new loan will be on more favorable terms.
When will it work
When you have a lot of small loans from different organizations and you are already tired of checking what you owe and to whom. It’s easier to take out one loan and deal only with its repayment. At the same time, you have a good credit history.
What do I need to do
Take initiative. Consider all the offers for refinancing loans that are on the market and calculate whether such a procedure will help you: will you really pay less or the rates on refinancing programs are so high that it is better not to deal with them.
Why is this bad?
- Not all banks refinance their own loans. You need to look for offers from other banks, and this is quite difficult.
- Find for real profitable proposition- a big and difficult quest.
- Banks often consider refinancing not a relief, but an increase in financial burden. Refinancing is entered into a credit history not as a refinancing itself, but as another loan. Therefore, if it suddenly becomes easier for you to pay off your debts and you decide to borrow money again, you may be refused because you have “too many loans.”
- Banks often refuse. Anastasia Loktionova, deputy general director group of companies Rusmikrofinance, explains it this way: “Usually an unspoken rule comes into play: for financing debt obligation No more than 50% of the borrower's total income should be allocated. In this case, an important role is played not only by the refinancing that the client wants to receive, but also by other obligations that he has managed to formalize. If the total payments for all loans (mortgages, consumer loans, car loans) amount to more than half of the borrower’s income, this may act as the most compelling reason for the bank to refuse.”
3. Debt write-off due to statute of limitations
There is one loophole in the law that allows you to take money but not give it back and write off loan debts. This is possible if the organization you owe filed a lawsuit too late and the debt can be written off due to the statute of limitations.
General limitation of actions debt collection period is three years. If you borrowed money, and were sued 5-6 years later, then you can safely petition that the plaintiff’s claim for debt collection be denied, since he missed the statute of limitations.
Vadim Kudryavtsev, lawyer
When will it work
When a bank or microfinance organization did not file a lawsuit on time. For example, they transferred a debt, and you successfully hid from them.
What do I need to do
For a very long time, namely three years, not paying anything (and not communicating with the bank at all) and waiting until they sue you.
Representatives of the financial institution begin working with problem borrowers 30 days after the overdue period. If after 90 days the debtor has not paid, then most often the financial institution sues. The statute of limitations starts from the date of the last action on the loan. If the borrower enters into negotiations with financial institution, signs documents, deposits any money, then the statute of limitations is renewed again.
Anastasia Loktionova
Why is this bad?
- The stars need to “align”: the bank also knows about the statute of limitations and usually files a lawsuit in advance.
- Collectors will most likely get involved in debt collection. The stories of such services are notorious.
- It is unlikely that after the story of the court and debt write-off, you will be able to count on a new loan if you suddenly need it: the story will be hopelessly spoiled.
4. Bankruptcy
This is special legal procedure. You officially - that is, through the court - declare that you do not have money and will not have it, and will not repay the loan. After the court declares you bankrupt, your property will be sold to partially cover the debt. Even if you fail to pay off the debt in this way, there are no more claims against you - you are bankrupt.
When will it work
When everything is very bad. Really bad. The debt must be more than 500 thousand rubles, the overdue payments must be more than 90 days.
What do I need to do
- Collect the necessary documents.
- Submit to arbitration court bankruptcy application.
- Go through the entire procedure.
The set of documents for a borrower to file a bankruptcy application is huge. It is established by the Law “On Insolvency (Bankruptcy)”, Part 3 of Article 213.4. The legislator, apparently, did not set himself the task of making the procedure as simple as possible for citizens. Moreover, the list of documents is individual in each case. The sample list includes more than 20 items, so it’s really not easy.
Oleg Iskakov, lawyer
Why is this bad?
- The procedure itself costs money, and you still need to find it: you need to pay state fee and the job of a financial manager, and then go through the entire legal process. It is not a fact that the court will recognize bankruptcy.
- The property will be sold off, leaving only what is necessary: the only housing and personal belongings. Therefore, bankruptcy is suitable for those who already had nothing or everything has already been sold.
- After bankruptcy, much is impossible. For example, you cannot open a new business or hold leadership positions for several years. The list of restrictions depends on the court's decision. They may prohibit, for example, traveling abroad. In addition, it is unlikely that even a few years after bankruptcy you can count on someone giving you a loan or calling you to manage the financial department.
5. State program for debt forgiveness
Government program designed for people who bought economy-class housing and now cannot pay the mortgage. The program allows you to write off 600 thousand rubles from your mortgage debt.
When will it work
When you have a mortgage, you become eligible for the program, your income has dropped, and your loan payment has increased.
What do I need to do
- Go to the state program website.
- Check to see if you qualify for the program.
- Collect the necessary documents and submit them to the bank.
- Wait for a decision.
Why is this bad?
- The program is not suitable for everyone; it has many limitations.
- It only works for mortgages.
- You need to collect a huge amount of papers to use it.
- The program does not exempt you from the entire loan and related payments: you must make monthly fees, pay insurance and so on.
Any of these methods has many disadvantages, and, of course, it is better to live, although this is not always possible. Do you have a lot of loans?
Accounts payable arises if the time of receipt of services does not coincide with the established time of payment. This also includes the organization's wages owed to its employees. Loan debt can be reduced in many ways.
The first step is to talk to your creditors. Try to come together to general decision and agree with them on a deferred payment. They will be glad to receive at least some amount instead of wasted time on legal proceedings. Set deadlines for paying new payments and sign an additional agreement. Creditors may defer your payments, extend your repayment period, or temporarily freeze all payments. But “vacations” are used very rarely. You can reduce your monthly premium through debt restructuring. In this case, you will be extended the term of repayment of the debt by installments. You will have to pay more money in interest, but in difficult circumstances this option is the most convenient for both parties. And if your business improves over time, you can easily pay off the debt ahead of schedule so as not to overpay on interest.
If your problems are random and temporary, most likely, creditors and the court will accommodate you halfway. But if they consider the situation critical, they will use radical methods in the form of selling collateral.
Instructions
Identify assets that you can sell to pay off the debt.
Use every opportunity to attract new investors.
Create a system of reserves for doubtful debts. In this case, when concluding contracts, the company expects timely receipt necessary payments. This will allow you to create sources for covering losses, as well as have the most realistic description of the company’s own financial condition.
Develop an active system for collecting payments. This section of working with debtors implies the following processes: carry out the necessary procedures for interacting with your debtors for violating the terms of debt payment, identify and introduce an appropriate system for punishing unscrupulous counterparties.
Replace the debtor in the obligation (translate debt). Current legislature provides for the possibility of transferring the debt to another person. In this case, the enterprise that is the original debtor withdraws from the existing obligation and is replaced by some new debtor. As a rule, to the debtor debt goes into in full.
In order to transfer the debt, it is necessary for the creditor to express his consent in writing. This is by signing an agreement or contract confirming the transfer of debt.
To improve the financial condition of an enterprise, it is necessary to constantly monitor accounts payable and regularly monitor their ratio and quality. How to reduce a company's accounts payable?
Instructions
It is necessary to find ways and means that will reduce the amount of debt of the enterprise. To avoid the formation of unjustified debt, it is necessary to properly manage accounts receivable.
First of all, control the turnover of funds in settlements. Because the acceleration of turnover in dynamics is a positive trend.
Carry out the selection using informal criteria: level of current solvency, compliance with payment discipline, forecast financial opportunities, financial and economic opportunities enterprises, etc.
For regular customers, provide shipment of goods to. Set a small discount when paying in the first days of the loan term. And in case of failure to pay on time, set a fine, the amount of which will increase every day.
Constantly analyze the level of both receivables and payables. Set a critical debt level. If it is exceeded, carefully check all calculated mandatory. Make a control sample from the remaining documents. Check their reality. Send messages to counterparties asking them to verify these documents.
Build analytical accounting in such a way as to ensure the receipt of data on repayment periods, education, availability of bills, etc. This will prevent the occurrence of unjustified debt.
Sources:
- accounts payable
To manage effectively cash flows firms need to be assessed Current state funds in current accounts, as well as analyze the debt of debtors. To analyze accounts receivable you need to calculate the following financial indicators.
Instructions
The continuous increase in such debt creates serious problems for the organization. The desire to increase sales volumes can lead to significant losses and even bankruptcy. Successful accounts receivable management will help maintain the organization's solvency and prevent working capital shortages.
Accounts receivable are a current asset of an organization.
The main goal of management is to maintain debt at an optimal level, which is individual for each enterprise. Increase receivables means an increase in non-payments for the shipment of products, which leads to a decrease in current assets and solvency. A decrease indicates problems with product sales and reduction commodity loans provided by the enterprise.
Procedures for managing accounts receivable include: developing a method for selling the company's products with a continuous flow of cash, effective interaction with counterparties to collect debts, optimization.
Sources:
- Dictionary of banking terms
Accounts payable are the debts of an organization to other organizations, employees and persons that arise in the course of various facts economic activity.
Accounts payable are divided into short-term or long-term accounts payable (long-term and short-term liabilities).
Long-term accounts payable include:
Long-term bank loans used for capital investments on long term: for the purchase of expensive equipment, construction of buildings, modernization of production;
Long-term loans, reflecting long-term loans (except for bank loans) and other borrowed funds for a period of more than one year, including long-term bonds issued by the enterprise and long-term bills issued.
Short-term accounts payable include obligations that are covered by working capital or are repaid as a result of the formation of new short-term liabilities. These obligations are repaid over a relatively short period of time (usually within a year). IN Short-term liabilities includes such items as invoices and bills payable arising as a result of the provision of a loan to an enterprise, debt certificates of the company receiving a short-term loan; tax debt, which is essentially a form of credit provided by the government to a given company; wage arrears; Part long-term liabilities, subject to repayment in the current period.
Accounts payable is qualitatively best indicator than accounts receivable. In the case of accounts payable, we owe a certain amount of money to our suppliers, but in turn, we are listed as debtors in their accounts. Thus, the enterprise has a period until the critical deadline for payment and the supplier goes to court, using previously delivered but not paid for goods, works, services to obtain economic benefits and subsequently pay off with the supplier. Accounts payable are reflected in the balance sheet as a liability, that is, the source of the formation of both current and non-current assets enterprises. It is thanks to accounts payable, which is a unique type of borrowed funds, that an enterprise is able to carry out the entire chain of operations, starting with procurement material resources, for example, and ending with making a profit.
The state of accounts payable characterizes settlement relationships with suppliers, the budget, workers and employees. When checking amounts related to accepted suppliers settlement documents and uninvoiced deliveries, it should be borne in mind that their value largely depends on the uniformity and volume of supplies at the end of the reporting period, the forms used and the payment procedure, etc. Every enterprise and organization in its business activities conducts settlements with external and internal counterparties: suppliers and buyers, customers and contractors, tax authorities, with founders (participants), banks and others credit organizations, with its employees, other debtors and creditors.
When analyzing the state of accounts payable, it is necessary to distinguish between real and unreal (unjustified) debt.
During the analysis of accounts payable, a selection of obligations is made, the repayment terms of which occur in the reporting period, as well as deferred and overdue obligations.
The liabilities of any enterprise can be divided into two types of debt:
- “urgent” (obligations to the budget, to the bank for a loan received, to social insurance and security authorities);
- “calm” (advances received from buyers, suppliers and contractors).
Let's consider the main items of accounts payable and the dynamics of their changes at the enterprise under study based on the data in the Appendix to the balance sheet.
Table 3.1. Analysis of the composition and structure of accounts payable
|
Settlements with creditors (composition of accounts payable) |
At the end of 2011 |
At the end of 2012 |
Changes over reporting period |
|||
|
amount, million rubles |
specific gravity, % |
amount, million rubles |
specific gravity, % |
amount, million rubles |
specific gravity, % |
|
|
1. Suppliers and contractors |
||||||
|
2. Buyers and clients |
||||||
|
3. Debt on taxes and fees |
||||||
|
4. Debt for social insurance and security |
||||||
|
5. Arrears of wages |
||||||
|
6. Other creditors |
||||||
According to Table 3.1. The following conclusions can be drawn about the composition and structure of accounts payable:
1. The amount of accounts payable for 2012 compared to 2011 decreased by -10683 million Belarusian rubles. rub.
2. The amount of accounts payable to suppliers and contractors decreased by BYN 1,751 million. rub., however, the share of this type of debt increased by +1.19%. The main reasons for reducing accounts payable to suppliers and contractors are: payment under previously unpaid contracts to suppliers and contractors for work performed, goods, services rendered. The fact that the share of accounts payable to suppliers and contractors has increased is an insignificant point, since the percentage of the increase is relatively small.
3. Accounts payable to buyers and customers for 2012 compared to 2011 decreased by -8454 million Belarusian rubles. rub., the share of this debt decreased by -45.35%. This change is positive for the company. A decrease in the amount of accounts payable indicates that the company repaid in 2012 most of its obligations to buyers and customers; these could be goods, works, services for which an advance payment was received in 2011 and earlier, but was not fulfilled supply of goods (work, services).
4. Debt on taxes and fees for 2012 increased by +60 million Belarusian rubles. rub. This amount may indicate taxes and fees that have not yet become due, or taxes introduced in accordance with tax legislation in 2012, as well as an increase in rates on them. This may also indicate a lack of funds in the company’s current account to pay taxes, which is negative point.
5. Accounts payable for social insurance and security for 2012 decreased by -157 million Belarusian rubles. rub. This situation could arise due to underpayment of funds for social insurance, which is a negative point, but this amount may also be accrued, but not paid due to the fact that the deadline for fulfilling the obligations has not yet arrived.
6. Wage arrears for 2012 decreased by -405 million BYR. rub. This type of debt must be considered in the context of: amounts accrued in 2011 and paid to employees in 2012, reductions in deposited wages, as well as due to a decrease in the number of employees, due to a decrease in accrued wages due to absenteeism, leaves without pay, deductions for executive documents, deductions from guilty persons, etc. The share of payables for wages increased by +5.07% in total amount debt.
7. Debt to other creditors increased by +24 million BYR. rub., the share of this debt increased by +2.92%. When analyzing this item of accounts payable, a more detailed analysis and information is needed about what kind of accounts payable the organization allocates to this article.
8. The amount of short-term accounts payable during the period under study decreased by -10683 million Belarusian rubles. rub., which indicates an increase in the solvency of the enterprise under study.
Also, at the enterprise under study, both in 2011 and in 2012, there were no long-term accounts payable.
When analyzing accounts payable, and in particular debts to suppliers and contractors, it is necessary to take into account the specifics of contractual relations. When concluding an agreement, the supplier and the customer (buyer) bilaterally negotiate the process of transfer of goods (services), their completeness, compliance with GOSTs and various standards, as well as methods and terms of payment. Based on these conditions, payments will be made, and the goods (work, services) will be shipped. At the enterprise under study, the delivery of goods from the supplier is carried out according to the Consignment Note.
Accounts payable - debt for settlements with creditors for goods, works and services, with subsidiaries, with workers and employees for wages, with contractors, with budgetary and off-budget funds, debts on taxes and fees and with other creditors.
Accounts payable is short-term free credit provided to a company by suppliers.
The longer the payment deferment provided by suppliers, the longer the company has the opportunity to use other people's funds for free.
Accounts payable turnover ratio K to
shows how many revolutions a company requires to pay supplier invoices issued to it, and is calculated using the formula:
where K k is the accounts payable turnover ratio, times;
B-revenue, thousand rubles.
Zk - average accounts payable, thousand rubles.
Accounts payable turnover (OK) can also be calculated in days. This indicator reflects the average number of days, and shows average term repayment of the enterprise's debts (except for obligations to banks and other loans) and is calculated as the ratio of the number of days in the period and the turnover ratio
where О к - accounts payable turnover, days
D - duration of period, days
K k - accounts payable ratio, times.
Based on the data from the balance sheet, the appendix to the balance sheet and the profit and loss statement, we will calculate the turnover indicators for the enterprise under study.
Turnover ratio for 2012
Accounts payable turnover for 2011
Accounts payable turnover for 2012
Based on the data obtained, we will create a table.
Table 3.2. - Analysis of accounts payable turnover indicators
According to Table 3.2. The following conclusions can be drawn about the accounts payable turnover ratios:
1. The accounts payable turnover ratio in 2012 was 3.95, in 2011 - 3.89. The change was + 0.06 times during the reporting period. Increase this indicator means that the company pays its suppliers faster;
2. Accounts payable turnover decreased by 2 days and in 2012 amounted to 91 days. This means that on average 3 months of accounts payable remain unpaid during the reporting year. This may be due to the provision of commercial credit by suppliers or late payments to suppliers, and as a result, loss of business reputation.
Accounts payable turnover is assessed together with accounts receivable turnover. An unfavorable situation for an enterprise is when the accounts payable turnover ratio is significantly greater than the accounts receivable turnover ratio. At the enterprise under study, as of 2012, the turnover ratios of accounts receivable and accounts payable are respectively equal to 3.8 and 3.95. The excess of accounts payable is insignificant (+0.15) and does not affect the current financial condition of the enterprise.