Assessment of the company’s financial condition using a synthetic measure based on the example of a confectionery company
Assessment of the company’s financial condition using a synthetic measure based on the example of a confectionery company

Summary/Abstract: Motivation: Many methodological problems are associated with measuring and forecasting the company’s financial standing. Various methods have been developed to assess the current and future financial standing of enterprises. Their usefulness requires development and verification based on the example of a specific enterprise. The evaluation of one of these methods is the subject of this article.Aim: The research objective of the article is to propose a method for assessing the financial situation of a company and to carry out a forecast of the financial condition of an economic entity based on this method. To analyse the condition, indicator analysis and one of the methods of multivariate comparative analysis (MCA) were used — a synthetic measure was constructed, and then the time series analysis method was used (the model of the internal structure of the examined process was estimated). The study also attempts to determine the company’s financial condition forecast. The results of the study were presented based on the example of a company representing the food industry — the Wawel SA company.Results: In this study, the financial condition of the company was presented using a synthetic measure, which is a tool for multivariate comparative analysis (MCA). A model of the internal structure of the examined process was also estimated, based on which a forecast of the financial condition of a selected company representing the food industry was determined. The analysis showed that the presented methods are very useful for assessing and forecasting the company’s financial condition.

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