The authors of this article compare the principles of financial (accounting) statements and its qualitative characteristics, provided by international and local accounting standards, assess their effect on the financial condition of the organization.
The study is centered on one curious text that spread in manuscripts and prints in the Slavic countries of Eastern Europe from the 16th through the 17th century. The document seems to have been composed in Bohemia in the 15th, maybe even in the mid 14th century. This was a charter, ascribed to Alexander the Great, endowing the Slavs with his privilege to possess all lands “reaching from the utmost North down to the Italy’s southern boundaries”. The “Alexander’s Slavic charter” is transmitted in several deviating versions, whereas the most peculiar of them was written in one of the (western?) Russian regions, probably as early as in 1556–1576. According to this specific Russian interpretation of the Alexander’s generosity, the pagan Slavs — the direct ancestors of the Muscovites — received from the King not the ‘usual’ lands but other vast territories — from the Baltic to the Caspian Sea. The article argues that the intention of the original “Russian version” had differed seriously from the political tendency of the official Chronograph, where this text was finally inserted (presumably between 1646 и 1661) and where it later became visible for scholars.
Credit rating agencies evaluate corporate risks and assign ratings to companies. Each rating grade corresponds to certain boundaries of default probability. KMV is a popular model to assess the default probability of a company. In this paper, a method to predict the default probability of a company is proposed. This method is based on the main concept of the KMV model; however, financial statements are applied instead of stock prices, i.e. time-series of EBIT (earnings before interest and taxes), net debt, sales, and the last year value of WACC (weighted average cost of capital). Default probabilities for 150 companies are evaluated. Results and limitations are discussed.
Business Enlish practice tasks and texts for the development and mastering of Business English Vocabulary.