MECHANISM OF FORMATION OF FINANCIAL RESULTS IN THE REPORT OF FORESTRY ENTERPRISES

Abstract

The development of entrepreneurship in the country requires businesses to make the most efficient use of financial resources to achieve maximum effect and realize the mission of the enterprise. Financial and economic results of any enterprise is a key indicator that characterizes the efficiency of its management during the reporting period. The process of reflecting the financial results of any enterprise is an important stage of accounting, so every year many scientists pay more and more attention to these processes. Today, the accounting system has imperfections. Therefore, it is very important to conduct research in this area to obtain a single mechanism developed for each area of activity. Therefore, the authors decided to investigate in depth the economic essence of the criterion of "financial results" on the basis of the works of Ukrainian scientists and formed a generalizing meaningful definition, which covers all features and allows to obtain a full interpretation. Thus, it was accepted to interpret the financial result as a qualitative indicator of the effectiveness of economic activity, which is defined as the difference between income and expenses for the period, which leads to profit or loss. The latest research of domestic scientists is analyzed. A single mechanism for the formation of financial results of forestry enterprises in the accounting system has been developed. The problem identified is the need to add new analytical accounts to the "operating result" account. After all, the forest industry has its own specifics of work, which requires the delimitation of activities to correctly and fully reflect the indicators in the reporting. therefore, it is proposed to consider the possibility of making adjustments to the statement of financial performance at the state level. Almost all subjects of market relations are interested in obtaining detailed information about the financial condition of the business entity: owners, the state, administrative staff, banking institutions, investors, suppliers, contractors, etc.