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Threat to business activity in times of the pandemic
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NSTL
The accuracy of economic decisions depends on the quality of financial information, coming mainly from financial statements prepared by economic and other entities. In times of the pandemic, the threats to continuing economic activity appear to be greater. Hence, there is a need to develop hedging instruments. Good information could protect many entities from the risk of bankruptcy. Such entities need transparent, easy to calculate indicators informing them about the impending crisis. When analysing exposures in financial statements, one can see that their volume is constantly increasing and recipients complain about the decreasing readability. The aim of the article is to create such information which would allow the entrepreneur to react quickly and dynamically to the weakening of his activity to create simple indicators to assess the situation, to separate items on the balance sheet, which would pose a risk of bankruptcy.
Threat to activitySymptoms of threatPandemic
HALINA CHLODNICKA
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Department of Finance, Banking and Accounting Rzeszow University of Technology
NSTL
