| Title |
A system of analysis oft he totalliabilities to totalassets ratio |
| Authors |
Subačienė, Rasa ; Villis, Liuda |
| DOI |
10.15388/Ekon.2010.0.981 |
| Full Text |
|
| Is Part of |
Ekonomika : mokslo darbai.. Vilnius : Vilniaus universiteto leidykla. 2010, vol. 89, no 2, p. 120-129.. ISSN 1392-1258 |
| Keywords [eng] |
Solvency ; Total liabilities to total assets ratio ; Analysis of solvency |
| Abstract [eng] |
The problem of solvency, which has been dealt with in many authors’ works, is exceptionally topical nowadays when settlements among companies are performed not in a timely manner, disturbing business possibilities to remain active in the times of economic recession. Solvency represents a company’s ability to cover current and non-current liabilities; also, it influences a company’s financial state, results of activities and further development. Therefore, analysis of solvency provides the basis for evaluating a company’s financial state. The means of assessing the total liabilities to total assets ratio by applying a system of pyramidal analysis, which reveals the actions that have a negative impact on this ratio, were investigated for the first time. The total liabilities to total assets ratio was selected as one of the long-term solvency ratios representing a company’s total level of liabilities and its further capacity of borrowing. |
| Published |
Vilnius : Vilniaus universiteto leidykla |
| Type |
Journal article |
| Language |
English |
| Publication date |
2010 |
| CC license |
|
