Indicators for Measuring the Financial Performance of Economic Entities
In an ever-changing competitive environment, entities have become aware of the importance of monitoring the performance. Profit was and continues to be considered the most important indicator of measuring financial performance, but good performance does not depend only on the profitability of the en...
| Main Author: | |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Ovidius University Press
2020-01-01
|
| Series: | Ovidius University Annals: Economic Sciences Series |
| Subjects: | |
| Online Access: | http://stec.univ-ovidius.ro/html/anale/RO/2020/Section%205/14.pdf |
| Summary: | In an ever-changing competitive environment, entities have become aware of the importance of monitoring the performance. Profit was and continues to be considered the most important indicator of measuring financial performance, but good performance does not depend only on the profitability of the entity. There are a multitude of performance measurement indicators in order to accurately assess the financial health of the entity. In this regard, the principal objective of this research is to present the indicators used in the activity of measuring financial performance. The research results show that depending on the interests of users of accounting information, performance is perceived differently, either by profit, results, sustainable development, liquidity, profitability, efficiency, cash flow, and in the context of measurement performance we have a series of indicators to measure it, which derives from the consideration that an assessment of the health of an entity based on the profit obtained is not sufficient. |
|---|---|
| ISSN: | 2393-3127 2393-3127 |