A System Of Analysis Of The Total Liabilities To Total Assets Ratio

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.