Event budgeting and financial health

A critical determinant of successful event management is the capacity to predict and monitor event costs and revenues. Cost blow-outs or lower than expected revenues can significantly impact an event’s financial performance, turn an anticipated profit into a loss, create major cash flow problems, and impair the financial health of an events business.

Risk of Business Bankruptcy

Recently, the demand of business owners to ensure the sustainability of their businesses has come to the fore. It results in a focus on identifying the risks of businesses' financial failure. Several prediction models can be applied in a given area. Which of these models is most suitable for Slovak companies? The aim of this chapter was to point out the possibility of applying the DEA method in measuring the financial health of companies and predicting the risk of their possible bankruptcy. The research was carried out on a sample of companies operating in the field of heat supply. The indicators were selected using related empirical studies, a univariate Logit model, and a correlation matrix. In this chapter, two main models were applied: the DEA model and the Logit model. The main conclusion of the paper is that the DEA method is a suitable alternative in assessing businesses' financial health.

Impact of COVID-19 on the economic-financial health of the company REIPROACERO S. A., during the periods 2019-2020

This research article focused on evaluating the economic-financial situation of the company REIPROACERO SA, through the application of financial analysis methods and financial ratios, in order to determine the impact caused by the COVID-19 pandemic. On the other hand, within the investigative process the scientific method is applied, since it allowed to have an approach to the fact of interest, having contact with the data and information and real facts, which provided clues for the formulation of hypotheses and antecedents, building knowledge and leading to the verification of the same. Likewise, the qualitative descriptive approach was used, since the Financial Statements of the company, obtained from the Superintendencia de Compañias, Valores y Seguros, were analyzed; with a documentary design because information was obtained from scientifically recognized sources such as journals, articles in order to scientifically strengthen research. Where the results obtained showed excessive liquidity, low profitability and poor portfolio rotation.

Bonds Between Earnings Management and Corporate Financial Stability in the Context of the Competitive Ability of Enterprises

The financial health of enterprises and their continued profitability and competitiveness in the market are influenced considerably by the level of earnings achieved. Enterprises are forced to report the best possible results to demonstrate financial strength and competitiveness and to provide a good accounting for investors and creditors. Thus, the main objective of the study is to investigate whether there is any mutual dependence between corporate financial stability and earnings management. To measure these categories, Altman’s Z score was used to determine the financial health of enterprises, and the Beneish M-score and modified Jones model were applied to detect earnings manipulation. Using the chi-square test, the results revealed a statistically significant dependence between financial distress and earnings manipulation. Then, a multivariate statistical technique of correspondence analysis was applied to the categorical data to find categories of factors that are mutually correspondent. Based on a dataset of 11,105 enterprises operating in the Visegrad countries, the results found that enterprises that are threatened by bankruptcy or located in the gray zone tend to manipulate their earnings to maintain credibility, creditworthiness, and competitiveness. Because the financial health of an enterprise provides a potential incentive for earnings manipulation, state authorities, regulators, and policy-makers may benefit from the findings of the study.

FH&P RATING MODEL AND ITS APPLICATION WITHIN THE SLOVAK SPA ENTERPRISES

The aim of the paper is to propose a suitable structure of the newly designed Financial Health & Prediction (FH&P) rating model, and by putting it into practice in Slovak spa enterprises, to contribute to the development of financial management concepts for spa facilities operating in the field of tourism. The quantification of individual dimensions of the FH&P rating model was based on the calculation of selected ten key financial ratio indicators and prediction models. The values (in different units of measure) were converted to points using compiled transformation tables which formed the final score of the FH&P rating model and subsequently the proposed A-FX rating. Based on the results, Kúpele Bojnice, Inc. (SE03), Špecializovaný liečebný ústav Marína, s.e. (SE21) and Kúpele Nimnica, Inc. (SE07) received the best rating. This innovative model provides financial managers actual, simple and understandable overview of the financial health of a spa company and its future financial perspective. With a several adjustments, the FH&P rating model is easily applicable in any economic sector of Slovakia.

Configuring the Enterprise Systems Portfolio: The Role of Information Risk

Information risk, the likelihood that corporate financial information is of poor quality, adversely impacts investor confidence regarding a firm’s financial health, making it an economically important problem. Viewing a firm’s enterprise systems (ES) portfolio as made up of operational modules (customer relationship management and supply chain management) and functional modules (accounting and finance, and human resource management), we examine how firms configure their ES portfolio by changing the balance in the implementation of two types of modules in response to information risk. We find internal controls to be an important contingency in determining how firms change their ES portfolio balance when information risk increases. When there is no weakness in internal controls, firms change their ES portfolio balance more toward operational modules. However, when internal controls are afflicted with material weakness, firms change their ES portfolio balance more toward functional modules instead. When evaluating the link between ES portfolio configuration and information processing requirements in the context of financial processes, managers should assess both information risk and internal controls to decide how to change the balance between operational and functional modules that are implemented.

Tingkat Kesehatan Keuangan Organisasi Pengelola Zakat Di Indonesia

As the largest Muslim country in the world, Indonesia has great potential in collecting zakat, infaq, alms, and waqf funds (ZISWAF) to alleviate poverty and social inequality. This study aims to demonstrate the financial health or performance of the zakat management organization (ZMO) by analyzing the ratio of activity, efficiency, amil, liquidity, and growth based on the provisions of the strategic study centre the national amil zakat agency (Puskasbaznas). This study uses a sample of twenty financial statements from five ZMO published from 2015-2018. This study uses an explanatory research method with a quantitative descriptive approach. The results show that the financial statements of the ZMO have implemented PSAK 45 and PSAK 109. The financial health or performance of the ZMO is categorized as quite reasonable. Then the efficiency ratio affects the financial health or performance of ZMO. In contrast, the ratio of activity, amil, liquidity, and growth do not affect the financial health or performance of ZMO. The results of this study are able to detect ZMO who do not aim to make a profit. Then it is used as a reference for ZMO in improving financial health or organizational performance.

MENILAI KESEHATAN KEUANGAN MITRA DALAM ANALISIS KELAYAKAN PEMBERIAN MODAL MENGGUNAKAN METODE Z-SCORE

ABSTRAKTujuan penelitian ini adalah menilai kesehatan keuangan mitra menggunakan metode Z-Score untuk memprediksi kesehatan keuangan mitra atau calon debitur. Subjek penelitian ini di tiga mitra atau nasabah dari PT Mitra Bisnis Keluarga Ventura dari sektor manufaktur dan perdagangan. Penelitian ini adalah penelitian kualitatif deskriptif. Metode analisis data menggunakan model Altman Z-Score dengan menganalisis laporan keuangan nasabah PT Mitra Bisnis Keluarga Ventura dari tiga periode atau lebih. Berdasarkan hasil penelitian yang dilakukan, Data Mitra A dikategorikan sehat dengan Z-Score 3,80, Data Mitra B dikatakan tidak sehat dengan nilai 0,52 dan Data Mitra C dikatakan Grey Area karena memiliki angka di bawah 2,60, yaitu 2,33. Hasil penelitian ini mengimplikasikan bahwa Keterkaitan antara Metode Z-Score dengan hasil keputusan tingkat kesehatan keuangan cukup membantu dalam menganalisis laporan keuangan dan dapat menghasilkan keputusan yang tepat dalam menilai kesehatan keuangan mitra. ABSTRACTThe purpose of this study is to assess the financial health of partners using the Z-Score method to predict the financial health of partners or prospective debtors. The subjects of this study were three partners of PT Mitra Bisnis Keluarga Ventura from the manufacturing and trading sectors. This research is a descriptive qualitative research. The data analysis method uses the Altman Z-Score model by analyzing the financial statements of PT Mitra Bisnis Keluarga Ventura customers from three or more periods. Based on the results of the research conducted, Partner A's data is categorized as healthy with a Z-Score of 3.80, Mitra B's data is said to be unhealthy with a value of 0.52 and Partner C's data is said to be gray area because it has a number below 2.60, which is 2.33. The results of this study imply that the relationship between the Z-Score method and the results of financial soundness decisions is quite helpful in analyzing financial statements and can produce the right decisions in assessing the financial health of partners.