Risk management methods of factoring business and its accounting support
Journal Title: Вісник Житомирського державного технологічного університету. Серія: економіка, управління та адміністрування - Year 2018, Vol 86, Issue 4
Abstract
Factoring business is constantly under the conditions of business risk. The management system of factoring company requires a new qualitative level of accounting information in order to minimize the negative effects of the risks as well as efficiency of factoring business managing in general. Therefore, there is an urgent need to develop accounting support of risk-based management for a factoring company. The article develops the accounting support of risk management for the factoring company in terms of management methods (risk taking and limitation, debtors’ diversification, risk transfer, self-insurance (reservation) of risks, risk insurance). The suggested methodical approach involves the reflection of these transactions in the main operating activity of the factoring company, taking into account the possibility of information formation by all types of factoring as well as by identified risks of factoring business (in particular, in relation to the methods of their management), which allowed to bring the accounting system in line with industry specifics and to provide a risk management system by accounting information at a new qualitative level to determine the effectiveness of the factoring transactions.
Authors and Affiliations
I. M. Vygivska, V. K. Makarovych
Keywords
Related Articles
- EP ID EP440063
- DOI -
- Views 106
- Downloads 0
Process management of intellectual capital formation
The article deals with the analytical approach to the formation of the structural and logical model of management of intellectual capital of construction enterprises through the application of the process approach. The a...
Organizational aspects of integrated reporting preparation according to international standard «Integrated reporting»
Integrated Reporting is an innovative reporting for business entities, therefore the issue of the organization the preparation of this reporting is an actual. The absence of legislative regulation of integrated reporting...
Audit stakeholder media market: the need for and characteristics of the organization
Active Ukraine media market development and its integration into the global market space cause a number of problems faced by scientists and practitioners in the fild of audit organizing of firms that saturate this market...
Architecture and attributes of innovation infrastructure
The innovation constituent of development is the most important element of the transition from industrial to the post-industrial type of society. The innovation infrastructure is one of the most important factors of the...
Main directions and priorities of Ukraine state migration policy in the context of its european integration changes
The exceptional socio-economic importance of migration and its significant impact on the living standards and welfare of the population, labor market, ethnic and religious profile of Ukrainians, cultural and educational...