DIAGNOSIS OF THE RISKS OF THE BANKRUPTCY OF BUSINESS ACTIVITY
In the conditions of market relations, the role of analysis of the financial state of the economic entity, representatives of the business community is exceptionally great. This analysis characterizes the provision of financial resources necessary for the normal functioning of business activities, the appropriateness of their placement, solvency and financial stability. Since in the process of doing business, the probability of a crisis is very high, the analysis data allow to diagnose the situation of its occurrence and to determine the ways of leveling bankruptcy. Any situation in which a business entity does not have time to prepare for changes can be considered a crisis. To prevent this situation, perhaps in time understanding the reasons why the activity was in crisis, and take action before the external manifestation of difficulties. The economic aspect of the problem lies in the fact that in the ongoing monitoring of the financial situation, a possible financial crisis can be identified at early stages of manifestation. If the analysis of the financial condition is not carried out periodically, and attention is not paid to the indicators signaling the onset of a crisis situation, this can lead to financial insolvency of the subjects of the business community. In connection with the foregoing, the article provides a methodology and practical recommendations related to the diagnosis of bankruptcy risks of entrepreneurial activity.