Technique of Determination of Optimum Volume and Structure of the Investment Capital of the Innovative Project

By Tronin, Sergey Aleksandrovich | Asian Social Science, April 2015 | Go to article overview

Technique of Determination of Optimum Volume and Structure of the Investment Capital of the Innovative Project


Tronin, Sergey Aleksandrovich, Asian Social Science


Abstract

Economic activity of the enterprise shares by the following types: operating (production), investment and financial activities. The sequence of stages of managing of the enterprise and interrelation of all three kinds of activity consists in the following:

Originally there is an investment of the raised funds on property purchase. Then there is a transformation of initial goods (resources) to the ready products, accompanied by an exchange between spheres of payments and investments (transfer of cost of resources on products). And, at last, sale of finished product that causes a counter flow of financial means from the sphere of investments into the sphere of payments (a deinvestirovaniye at a rate of depreciation, costs of the used materials, work, the credits and other resources) is realized.

Keywords: innovation activities, innovation policy, innovation strategy, company, innovation project

(ProQuest: ... denotes formulae omitted.)

1. Introduction

Basis of the organization of finance of the enterprises is existence of financial resources in sizes, sufficient for implementation production and commercial, activity. The financial relations of the enterprises are under construction on a number of the general and specific principles. First of all it is necessary to refer the principle of planned character, commercial calculation, the principle of providing financial reserves, the principle of differentiation of means of the primary and investment activity, sources of a forkmirovaniye of current assets to them on own and loan, the principle of their safety (Tronin, 2011).

The analysis of activity of the enterprise make by means of the following sources of information:

1) Data of accounting and accounting reports.

2) Norms and standards of expenses of material and power, labor, financial resources.

3) Legal, tax and financial information.

Listed and other types of information are necessary both to the investor, and the enterprise which is carrying out the innovative project at all stages of work with it.

In economic theory and economic practice for solving problems on the analysis of economic opportunities enterprises widely used method of assessing the financial stability that characterizes the ability of the subject to provide economic production process (Abramov, 2000):

1) Working capital;

2) Working capital and long-term loans;

3) Working capital, long-term and short-term loans

2. Method

One of the main problems of the analysis of financial stability of the enterprise is to determine the extent of coverage and costs of their own and borrowed sources of their formation, as well as the relation volumes of equity and debt. This analysis is conducted on the basis of the financial statements. Using the methodology of this analysis reveals the compliance or noncompliance (excess or deficiency) means for generating stocks (Tronin, 2011).

One of such techniques is "the golden rule of financing". According to this rule it is necessary that expensive subjects of property with a long length of life were got at the expense of own capital or, that long-term connected in the enterprise fixed assets and part of working capital were financed from long-term sources.

If the results received as a result of the analysis do not conform to the standards, it is possible to predict that the risk of implementation of the innovative project at such enterprise will be rather great. And the enterprise needs to reconsider sources and financing terms, to increase a share of own capital, to change conditions of deliveries, system of calculations, etc. (Kuchkovskaya, 2009).

The following list of the economic indicators characterizing an evaluation of a financial position of the enterprise (Table 1) is provided in Methodical recommendations.

For the analyzed enterprise it is expedient to consider calculated values of indicators in dynamics that will allow to reveal tendencies of change of an economic situation during the period preceding an innovation (Fisher, 2012). …

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