The concept of financial resources. Financial resources

The financial resources of an economic entity are the funds at its disposal. Financial resources are directed to the development of production (production and trade process), the maintenance and development of non-production objects, consumption, and may also remain in reserve. Financial resources used for the development of the production and trade process (purchase of raw materials, goods and other objects of labor, tools, labor, other elements of production) represent capital in its monetary form. Thus, capital is a part of financial resources.

Capital is value that brings surplus value. Only the investment of capital in economic activity, its investment create profit. General formula of capital:

where D - funds advanced by the investor;

T - goods (purchased means of production, labor and other elements of production);

D* - funds received by the investor from the sale of products and including the realized surplus product (surplus value);

D * - D - surplus product (income of the investor);

D * - T - proceeds from the sale of products;

D - T - the cost of the investor for the purchase of goods.

In the above operation D - C - D *, the funds (D) invested in the production and trade process are not completely spent, but only advanced, and after the completion of the circuit they are returned to the depositor (investor) with additional income (D *). The capital must constantly make a circuit, the more turnovers of capital are made in a year, the more the investor will have an annual profit.

The capital structure includes funds invested in fixed assets, intangible assets, working capital, circulation funds.

Fixed assets are means of labor (building, equipment, transport, etc.) that are repeatedly used in the economic process without changing their material-natural form. Fixed assets include labor instruments worth more than 1,000 minimum wages per unit and with a service life of more than one year.

The exception is agricultural machinery and tools, construction mechanized tools, working and productive livestock, which are considered fixed assets regardless of cost. An annual adjustment of the specified limit as of January 1 is allowed for the annual inflation index. Fixed assets do not include labor instruments worth less than 1 thousand min. okl. per unit and (or) a service life of less than a year; tools of labor - regardless of cost and service life; sneskosnastka - regardless of cost; overalls and footwear - regardless of cost and service life, etc. The cost of fixed assets, with the exception of land plots, in parts, as they wear out, is transferred to the cost of products (services) and returned in the process of its sale. This process is called depreciation. The sums of money corresponding to the depreciation of fixed assets are accumulated in the depreciation fund. The sinking fund, or cash compensation fund, is in constant motion.

The funds advanced for the acquisition of fixed assets are called fixed assets (fixed capital). It should be noted that funds are invested in funds in advance, so the concept of invested funds is adequate to the concept of advanced funds.

Intangible assets represent the investment of the enterprise's funds (its costs) in intangible objects used in the long term in economic activity and generating income. Thus, intangible assets are the value of objects of industrial and intellectual property and other property rights. Intangible assets include rights to use land, natural resources, patents, licenses, know-how, software, copyrights, monopoly rights and privileges (including rights to inventions, a patent, a license for certain types of activities, industrial designs, models, use artistic and design solutions), organizational expenses (including fees for state registration of an enterprise, a brokerage site, etc.), trademarks, trademarks and brand names, the price of a company. Intangible assets are similar in nature to fixed assets. They are used for a long time, make a profit, and over time, most of them lose their value. A feature of intangible assets is the lack of a material structure, the complexity of determining the value, the ambiguity in establishing profit from their use.

Revolving funds in terms of material content are stocks of raw materials, semi-finished products, fuel, containers, deferred expenses, low-value and wearing items. Low-value and wearing items are means of labor worth up to 1 thousand rubles. min. approx. for a piece of equipment with a service life of less than one year.

Economic entities have been given the right to set the cost of the means of labor themselves, which are classified as low-value and wearing out items, i.e. the lower limit is at the discretion of the economic entity, the upper limit is 1 thousand min. okl. Low-value and wearing items, regardless of their service life and cost, also include fishing gear, gas-powered saws, delimbers, floating rope, seasonal roads, mustaches and temporary branches of logging roads, temporary buildings in the forest, overalls and safety shoes, bedding, special equipment. Revolving production assets take part in the production and trade process once. while changing its material-natural form. Their cost is fully transferred to the newly produced product. The main purpose of working capital is to ensure the continuity and rhythm of production.

Circulation funds are associated with servicing the process of circulation of goods. They include manufactured but unsold products, stocks of goods, cash on hand and in settlements, etc. By the nature of participation in the production and trade process, working capital and circulation funds are closely interconnected and constantly move from the sphere of production to the sphere of circulation and vice versa, i.e. e. from one fund to another. Therefore, they are treated as single working capital. Cash invested in working capital and circulation funds are working capital (working capital).

The circulation of working capital occurs according to the scheme:

D - T ... P ... T1 - D1,

where D - funds advanced by an economic entity;

T - means of production;

P - production;

T1 - finished products;

D1 - cash received from the sale of products and includes the realized surplus product.

Dots (...) mean that the circulation of funds is interrupted, but the process of their circulation continues in the sphere of production. The authorized capital is the sum of the contributions of the founders of an economic entity to ensure its vital activity. The amount of the authorized capital corresponds to the amount fixed in the constituent documents and is unchanged. An increase or decrease in the authorized capital can be made in the prescribed manner (for example, by decision of the general meeting) only after the re-registration of the economic entity. As contributions to the authorized capital, the following can be made: buildings, structures, equipment, other material assets, securities, rights to use land, water and other natural resources, buildings, structures, equipment, other property rights (including intellectual property: know-how, the right to use inventions, etc.), funds in rubles and foreign currency. The cost of deposits is estimated in rubles by a joint decision of the participants of economic entities and amounts to their shares in the authorized capital.

In the financial activities of an economic entity, assets and liabilities are distinguished. The assets of an economic entity are a set of property rights belonging to it. The composition of the assets of an economic entity includes fixed assets, intangible assets, working capital. Assets net of debts (accounts payable, borrowed funds, deferred income) represent net assets. The liabilities of an economic entity are the totality of its debts and liabilities, consisting of borrowed and borrowed funds, including accounts payable. Liabilities do not include grants, subventions, own funds and other sources.

Subvention - a type of cash benefit from the state from extrabudgetary funds. A subvention, unlike a grant, is provided to finance a specific event and is subject to return in case of violation of its intended use.

Sources of financial resources

Financial resources are generated from a number of sources. According to the form of ownership, two groups of sources are distinguished: own funds and others. Sources of financial resources are: profit; depreciation deductions; funds received from the sale of securities; share and other contributions of legal entities and individuals; credit and loans; funds from the sale of a pledge certificate, an insurance policy and other cash receipts (donations, charitable contributions, etc.).

The system of profits and incomes consists of profit from the sale of products, profit from other sales, income from non-sales operations (net of income from these operations), balance sheet (gross) profit, net profit. In addition, profits are divided into taxable and non-taxable. Profit from the sale of products (goods, works, services) is the difference between the proceeds from the sale of products without value added tax, excises, export tariffs (for export proceeds) and production and sales costs included in the cost of production. Production cost

(works, services) - valuation of natural resources, raw materials, materials, fuel, energy, fixed assets, labor resources used in the production process, as well as other costs for its production and sale. The costs included in the cost price, according to the economic content, can be grouped into the following elements:

• material costs (minus the cost of returnable waste);
• labor costs;
• deductions for social needs;
• depreciation of fixed assets;
• other costs.

Profit from other sales is the profit received from the sale of fixed assets and other property of an economic entity, waste, intangible assets, etc. Profit from other sales is defined as the difference between the proceeds from the sale and the cost of this sale.

Income from non-operating operations includes:

• income received from equity participation in the activities of other economic entities, dividends on shares, income from bonds and other securities owned by an economic entity; proceeds from the rental of property;
• income from the revaluation of inventories and finished products;
• fines, fines, forfeits, other types of sanctions awarded or recognized by the debtor for violation of the terms of business contracts, as well as income from compensation for losses;
• positive exchange rate differences on foreign currency accounts, as well as transactions in foreign currencies;
• other income from operations not directly related to the production and sale of products.

Non-operating expenses include:

• the costs of canceled production orders, as well as the costs of production that did not produce products;
• expenses for the maintenance of mothballed production facilities and facilities (except for expenses reimbursed from other sources);
• losses from the markdown of inventories and finished products;
• losses on operations with containers;
• losses from writing off receivables for which the limitation period has expired and other debts that are uncollectible;
• uncompensated losses from natural disasters;
• losses from theft, the perpetrators of which have not been identified by a court decision;
• negative exchange rate differences on foreign currency accounts, as well as transactions in foreign currency and some other expenses.

The balance sheet profit is the sum of profits from the sale of products, from other sales and income from non-sales operations minus expenses on them. Income tax rate in 1998 ranged from 35 to 43%. At the same time, it should be borne in mind that income from equity participation in other economic entities and income from securities are taxed at a rate of 15%, income from video display - 70%, etc. Therefore, these incomes must be separated from taxable income in a separate group. Economic entities, including those that have received a loss, having an excess of the actual costs of remuneration of employees employed in their core activities as part of the cost of products (works, services) in comparison with their normalized value, pay tax to the budget on the amount of excess of these costs. An economic entity independently determines the directions for the use of profits, unless otherwise provided by the charter.

The reserve fund is created by business entities in case of termination of their activities to cover accounts payable. The formation of a reserve fund is mandatory for a joint-stock company, cooperative, enterprise with foreign investment. Allocations to the reserve fund and other funds similar in purpose are made until the size of these funds established by the constituent documents is reached, but not more than 25% of the authorized capital, and for a joint-stock company - not less than 10%. At the same time, the amount of deductions to these funds should not exceed 50% of taxable profit.

The accumulation fund is a source of funds of an economic entity, accumulating profits and other sources for creating new property, acquiring fixed assets, working capital, etc. The accumulation fund shows an increase in the property status of an economic entity, an increase in its own funds. At the same time, operations to acquire and create new property of an economic entity do not affect the accumulation fund. The consumption fund is a source of funds of an economic entity, reserved for the implementation of measures for social development (except for capital investments) and material incentives for the team.

Depreciation charges are a sustainable source of financial resources. Depreciation deductions are made only until the complete transfer of the balance sheet value of funds to the cost of products (works, services) and distribution costs. Depreciation deductions can be accrued by uniform or accelerated methods. The Russian Federation mainly uses the straight-line method of depreciation. Depreciation of fixed assets is charged for all groups of fixed assets, including construction in progress (with the exception of land, productive livestock, library fund, etc.). Under the straight-line method, depreciation is charged according to uniform depreciation rates, set as a percentage of the initial cost of fixed assets. Depreciation rates can be adjusted depending on deviations from the standard conditions for the use of fixed assets. The value of these coefficients is given in the collections of depreciation rates. For the rolling stock of road transport (cars and trucks, buses), depreciation rates are determined as a percentage of the original cost per thousand kilometers.

Depreciation of intangible assets is charged monthly at depreciation rates to the initial cost of intangible assets. Depreciation rates for intangible assets are determined on the basis of their useful life, but not more than the period of activity of an economic entity. For intangible assets for which it is impossible to determine the useful life, depreciation rates are set for ten years, but not more than the period of activity of the economic entity.

Share contribution. A share or share contribution is the amount of a monetary contribution paid by a legal or natural person when entering into a joint venture. A share contribution is obligatory for joining a limited liability partnership, a mixed enterprise, a Russian-foreign joint venture. A share contribution is often made when joining a cooperative. The share contribution can be made in cash; by transferring property and other material assets into the ownership of an economic entity; rights to use land, water and other natural resources; property rights (including the use of inventions, know-how); through deductions from the wages of employees for a certain period of time.

Know-how (eng. Know - how - I know how) - a set of technical knowledge and trade secrets. Know-how of a technical nature includes: experimental unregistered samples of products, machines and devices, individual parts, tools, processing devices, etc.; technical documentation; instructions; production experience, description of technologies; knowledge and skills in the field of accounting, statistical and financial reporting, legal and economic work; knowledge of customs and trade regulations, etc. Commercial know-how means: address data banks; client files; supplier files; data on the organization and efficiency of production, the volume of output; data on the organization of sales and distribution of products; methods and forms of advertising; data on personnel training, etc. Unlike production secrets, know-how is not patented, since for the most part it consists of certain techniques, skills, etc.

When drawing up an agreement on the transfer of know-how, the parties must determine its content and usefulness (comparing, if possible, with analogues), obligations for the transfer and operation, guarantees for achieving the effect. Here, it is more profitable for the owner to describe all cases of application of know-how, and for the user to “narrow down” its content so that in the future it does not pay the owner a fee for possible further refinement of the know-how. When determining the price of know-how, it must be remembered that it will pay off with the future profit that the user will receive by applying the know-how, otherwise he will receive less profit or no profit at all. The task will be simplified if the owner performs a feasibility study for the project: with and without know-how.

In world practice, the price of know-how is 5% of future profits, but there are cases when the price of know-how reaches 20%. When determining the price, the owner determines what costs the user may incur in the independent development of know-how, as well as the minimum allowable price, below which the sale is inappropriate.

Capital investment and its types

Financial resources are used by the enterprise to finance current expenses and investments. Investments represent the use of financial resources in the form of long-term capital investments (capital investments). Investments are carried out by legal entities or individuals, which, in relation to the degree of commercial risk, are divided into investors, entrepreneurs, speculators, players. An investor is one who, when investing capital, mostly someone else's, thinks primarily about minimizing risk, an intermediary in financing investments. An entrepreneur is one who invests his own capital at a certain risk. A speculator is someone who is willing to take a certain, pre-calculated risk. A player is someone who is willing to take any risk. Investments are risky (venture), direct, portfolio, annuity.

Venture capital is a term used to refer to a risky investment. Venture capital is an investment in the form of issuance of new shares, made in new areas of activity associated with high risk. Venture capital is invested in unrelated projects with the expectation of a quick return on investment. Capital investments are usually made by acquiring a part of the shares of the client enterprise or providing loans to it, including with the right to convert these loans into shares. Risky investment of capital is due to the need to finance small innovative firms in the areas of new technologies. Risk capital combines various forms of capital investment: loan, equity, entrepreneurial. He acts as an intermediary in the founding of start-up science-intensive firms, called ventures.

Direct investments - investments in the authorized capital of an economic entity with the aim of generating income and obtaining rights to participate in the management of this economic entity.

Portfolio investments are associated with the formation of a portfolio and represent the acquisition of securities and other assets. Portfolio - a set of various investment values ​​brought together, serving as a tool for achieving a specific investment goal of the investor. The portfolio may include securities of the same type (stocks) or various investment values ​​(stocks, bonds, savings and deposit certificates, pledge certificates, insurance policy, etc.).

The principles of formation are the safety and profitability of investments, their growth, liquidity of investments. Security refers to the invulnerability of investments from shocks in the investment capital market and the stability of income. Security is usually achieved at the expense of profitability and investment growth. Only shareholders can increase investments. The liquidity of any financial resource is understood as its ability to participate in the immediate acquisition of goods (works, services). So, cash has more liquidity than non-cash. A set of small denominations has more liquidity than a set of large denominations.

The liquidity of investment assets is their ability to quickly and without loss in price turn into cash. Real estate has the lowest liquidity. None of the investment values ​​has all the properties listed above. Therefore, a compromise is inevitable. If the security is reliable, then the return will be low, because those who prefer reliability will bid high and beat the return. The main goal in the formation of the portfolio is to achieve the most optimal combination of risk and return for the investor. In other words, an appropriate set of investment instruments is designed to reduce the investor's risk to a minimum and at the same time increase his income to a maximum.

The method of reducing the risk of serious losses is portfolio diversification, i.e., the acquisition of a certain number of different securities. The risk is reduced when the capital is distributed among many different securities. Diversification reduces risk due to the fact that possible low returns on one security will be offset by high returns on other securities. Risk minimization is achieved by including in the portfolio of securities a wide range of industries that are not closely related to each other in order to avoid the synchronism of cyclical fluctuations in their business activity. The optimal value is from 8 to 20 different types of securities. When considering the issue of creating a portfolio, the investor must determine for himself the parameters that he will be guided by:

Choose the optimal type of portfolio, which are of two types: a portfolio focused on primarily receiving income from interest and dividends; a portfolio aimed at the primary increase in the market value of the investment values ​​included in it;

Evaluate the combination of risk and return of the portfolio that is acceptable to you and, accordingly, determine the share of the portfolio of securities with different levels of risk and return. This task follows from the general principle that operates in the stock market: the higher the potential risk a security bears, the higher the potential return it should have, and, conversely, the more certain the return, the lower the rate of return. This problem is solved on the basis of an analysis of the circulation of securities in the stock market. Basically, securities of well-known joint-stock companies with good financial indicators, in particular, a large amount of authorized capital, are purchased.

When buying shares and bonds of one joint-stock company, an investor should proceed from the principle of financial leverage. Financial leverage is the ratio between bonds and preferred shares, on the one hand, and ordinary shares, on the other.

Financial leverage is an indicator of the financial stability of a joint-stock company, which is also reflected in the profitability of portfolio investments. A high level of leverage is a dangerous phenomenon, as it leads to financial instability.

Determine the initial composition of the portfolio.

Depending on the investment goals of the investor, it is possible to form a portfolio that offers more or less risk. Based on this, an investor can be aggressive or conservative.

An aggressive investor is an investor who is prone to a high degree of risk. In his investment activities, he focuses on the acquisition of shares. A conservative investor is an investor who tends to take less risk. He purchases mainly bonds and short-term securities.

Choose a scheme for further portfolio management. In this case, the following options are possible.

Investing capital requires taking into account the processes of inflation and deflation. Inflation is the depreciation of paper money and non-cash funds that are not redeemable for gold. Inflation can be defined as an overflow of money circulation channels relative to the mass of commodities, which manifests itself in rising prices. Inflationary processes in the world occur constantly. If the inflation rate is 2 - 3% per year, then it is usually called "soft" and it does not require any emergency measures. High inflation rates (10% or more per year) indicate a sick economy. Deflation is associated with a fall in the price level. A small rate of deflation is a great joy for consumers, but for the economy as a whole, the appearance of deflation is an undesirable phenomenon, since it leads to an economic recession, a sharp deterioration in the economic conditions for entrepreneurship and, ultimately, to stagnation in the country's economy, i.e. to an economic crisis.

Inflation is very painful for lenders and makes life easier for borrowers. Borrowers benefit from unexpected inflation as they repay their debts with depreciated money.

Discounting capital and income

Financial resources, the material basis of which is money, have a temporary value. The time value of financial resources can be considered in two ways. The first aspect has to do with the purchasing power of money. Cash at a given moment and after a certain period of time with an equal nominal value have completely different purchasing power. Yes, 100 rubles. after some time, with an inflation rate of 50%, they will have a purchasing power of only 50 rubles. In the current state of the economy and the level of inflation, funds that are not invested in investment activities or deposited in a bank depreciate very quickly. The second aspect is related to the circulation of funds as capital and the receipt of income from this turnover. Money should make new money as quickly as possible.

This additional income is determined using income discounting methods. Discounting income - bringing income to the time of investment.

Income discounting is used to estimate future cash receipts (profit, interest, dividends) from the position of the current moment. The investor, having made an investment of capital, is guided by the following provisions. First, there is a constant depreciation of money; secondly, it is desirable to periodically receive income on capital, and in an amount not lower than a certain minimum. The investor must evaluate what income he will receive in the future and what is the maximum possible amount of financial resources that can be invested in this business based on the predicted level of profitability.

Securities

They are monetary documents certifying the ownership or loan relationship of the owner of the document in relation to the person who issued such a document (issuer). In other words, securities are documents of property content, with which any right is connected in such a way that it cannot be exercised or transferred to another person without these documents.

Securities may exist in the form of separate documents or account entries. In countries with developed economies, a significant increase in the turnover of securities caused their registration by recording in books of account or accounts maintained on magnetic and other media. Thus, they moved into a non-cash, physically intangible (paperless) form. Therefore, in the securities market, both own securities and their substitutes (certificates, coupons) are issued, circulated and redeemed.

An issuer and a depositor participate in transactions with securities. Each of them pursues the same goal - to benefit from their activities.

The issuer of securities, having received money from their sale, seeks to invest this money in profitable business areas that would allow him to fulfill his obligations to buyers of these securities and make a profit for himself.

The investor, on the other hand, hopes that his investment in securities will bring him income in the future.

Depending on the purpose of the issue, securities are divided into commercial and stock. Commercial securities serve the process of commodity circulation and certain property transactions (checks, warehouse and pledge certificates, mortgages, etc.).

Stock securities are tools for the formation of monetary funds. These are papers with a floating (fluctuating) rate that are traded on stock exchanges.

The securities market is a sphere of economic relations associated with the purchase and sale of securities. This is a general concept of the securities market, which expresses its essence as an economic category.

Practically, not all securities are traded on the securities market. So, for example, securities denominated in foreign currency circulate on the foreign exchange market; securities quoted in gold are traded on the market of precious metals and precious stones; insurance certificates, pension and medical policies and similar securities are goods of the insurance market.

The securities market in Russia is regulated by the Federal Law of the Russian Federation "On the Securities Market" (April 1996). Markets are divided into primary and secondary, exchange and over-the-counter.

The primary securities market is a market that services the issue (issue) and initial placement of securities. The secondary market is a market where the purchase and sale of previously issued securities is carried out. Organizational forms distinguish exchange (stock or currency exchange) and over-the-counter market.

Over-the-counter market - the sphere of circulation of securities not admitted to quotation on stock exchanges. New issues of securities are also placed on the OTC market. The OTC market is organized by dealers who may or may not be members of the stock exchange. The over-the-counter securities market is conducted by telephone, telefax, computer networks. It deals mainly with the securities of those joint-stock companies that do not have a sufficient number of shares or income in order to register (list) their shares on any exchange. Operations with securities are carried out by stock exchanges (for securities in foreign currency - currency exchanges) and investment institutions.

Participants of the securities market are brokers, dealers, depositories, registrars, trade organizers. A broker is a financial intermediary. He makes transactions with securities on the basis of an agreement with a client or on his behalf. A broker can be an economic entity or a citizen.

The dealer, on the other hand, buys and sells securities on his own behalf and at his own expense by publicly announcing the transaction prices. Only an economic entity that is a commercial organization can be a dealer.

A depositary is an economic entity that provides services for the storage of securities certificates and / or accounting and transfer of rights to securities, i.e., is engaged in depository activities.

The depository is also a centralized repository of securities, which allows them to be traded without their physical movement.

A registrar or register holder is an economic entity that collects, fixes, processes, stores and provides data that make up the system for maintaining a register of securities holders. The organizer of trading in the securities market is the stock exchange.

Source - Lithuanian A.M. Financial management: Lecture notes. Taganrog: Izd-vo TRTU, 1999. 76s.

Tax and non-tax payments to the budget; payment of pensions, allowances, scholarships; placement of funds in securities, bank deposits; receiving income from them; attraction by commercial organizations on equity and debt basis of funds for the implementation of their activities; receipt of funds by non-profit organizations for the provision of services; the formation and use of the organization's profits - all ϶ᴛᴏ are commonly called financial transactions. The question arises as to what common features unite their diversity.

First of all, all these transactions take place in cash. This allows us to highlight the first sign of financial transactions - their monetary nature, with ϶ᴛᴏm there is a certain isolation of the movement of funds from the movement of goods. The function of money as a means of payment, with which financial transactions are associated, implies a certain isolation of funds in time from the movement of goods. It is important to note that, however, with all this, one cannot speak of the complete non-equivalence of financial transactions, since money is a universal equivalent.

Secondly, all financial transactions involve the transfer of funds from one economic entity to another: from organizations and households to the state and vice versa; between organizations; between organizations and households, etc. With the help of such a transfer, the value of the gross domestic product, as well as income from foreign economic activity, is distributed.
Therefore, we can talk about the distributive nature of financial transactions.

Distribution - ϶ᴛᴏ the process of formation and use of cash income. As a result of the distribution of the cost of goods and services produced, the formation of cash incomes from economic entities: households, organizations and the state. For the former, the main forms of income are wages and / or income from property (for individual entrepreneurs or participants in a production cooperative, one can speak of mixed income, combining labor income and income from property); organizations have profit; the state has taxes. The formation of monetary income of economic entities occurs not only through the distribution of the cost of goods and services produced (traditionally expressed by such a macroeconomic indicator as gross domestic product), but also through income from foreign economic activity (receipts from foreign trade operations, external borrowing, etc.)

The distribution process may also involve the accumulation of past years, carried out in cash (depreciation deductions, retained earnings of past years, balances in the accounts of the ϲᴏᴏᴛʙᴇᴛϲᴛʙ at the beginning of the year, household savings, etc.) The formation and use of monetary savings means that financial transactions mediate not only the distribution of the gross domestic product produced in the current period, but also part of the national wealth. Excluding the above, the formation of income from various economic entities is also carried out in the order of redistribution associated with cash receipts from one entity to another (for example, government subsidies)

Based on all of the above, we come to the conclusion that in the process of distribution, economic entities generate cash incomes, receipts and savings that ensure their functioning, are used to solve economic and social problems, and are ultimately directed to consumption and further accumulation (now not only in monetary form), which are usually called financial resources.

The process of distribution will be a stage of social reproduction linking production, exchange and consumption. Note that each stage of social reproduction demonstrates the movement of value, the change of owners, i.e., economic relations between individual subjects. Financial transactions, participating in the distribution of value, will be an external manifestation of a certain set of economic relations called finance, the emergence and functioning of which are determined by objective social trends, incl. economic, development.

All of the above allows us to define finance as a set of monetary relations regarding the distribution of the value of the gross domestic product, income from foreign economic activity and part of the national wealth, as a result of which monetary incomes, receipts and savings from individual business entities, the state, are used in the future to solve economic and economic problems. social tasks.

The history of the term "finance" has gone through several stages. According to prof. B.M. Sabanti, today it is difficult to name the author who introduced the term ϶ᴛᴏt into use. Initially in the XIII-XV centuries. it meant money. Somewhat later, in the scientific literature (from the 16th to the 19th centuries), finances began to be associated with the formation of state revenues and their spending. In Russia at the turn of the XIX-XX centuries. the science of finance was taught as a legal discipline, studying the legal norms in the field of state revenues and expenditures. As a result, the tradition of limiting the range of financial relations to operations, in which one of the parties is necessarily the state, was preserved at a later time. So, E. A. Voznesensky singled out the sign of imperativeness as a distinctive feature of financial relations, arguing that financial relations are formed by the state in the state-power order.

And at present, many authors (B.M. Sabanti, T.V. Braicheva, A.M. Kovaleva, etc.) use the sign of imperativeness when characterizing financial relations, although it is in some contradiction with the objective nature of the appearance recognized by these authors. and financial development. Of course, in the practice of organizing financial relations, they take specific organizational and legal forms, but if finances are objectively existing economic relations, then their functioning is determined primarily by the laws of development of the economic system, and not by strong-willed subjective decisions of public authorities established by legal acts. .

Since the 19th century in the economic literature, the concept of "finance" extends to the monetary transactions of individual companies, firms, banks, and not only to government revenues and expenditures. With ϶ᴛᴏm, the terms “bank capital” and “financial capital” are often identified. In particular, J. M. Keynes also considered finance as a monetary form of capital. This interpretation of finance is also found in modern authors specializing in the problems of the financial market.

The emergence of most foreign scientific economic schools was associated with the need to solve a specific economic problem. The applied nature of the development of economic theories predetermined the consideration of finance in foreign literature as a means of solving problems at the macro and micro levels. Therefore, both in the educational literature and in many modern foreign economic dictionaries, finance is defined as the science of cash flow management or is considered as one of the economic instruments of state regulation. It is appropriate to note that the definition of finance as a method of managing money is also found in Soviet scientific and reference literature in the 1920s-1930s.

Since the 1940s domestic economists are beginning to consider finance as an economic category. For the first time, finance as a system of economic (production) relations was defined by V.P. Dyachenko in the monograph "On the Question of the Essence and Functions of Soviet Finance". Since ϶ᴛᴏ, a discussion has arisen in Soviet literature about the field of appearance and operation of financial relations and their specific features, which make it possible to single out finance as an independent category from the variety of economic relations. Thus, within the framework of the labor theory of value, two main concepts of the essence of finance were formed: distribution and reproduction, which are also presented in modern Russian educational literature.

Supporters of the first of them (V. M. Rodionova, L. A. Drobozina, S. I. Lushin and others) associate the emergence and functioning of finance only with the distribution stage, without denying the interdependence of the latter and the processes of production, exchange and consumption. Within the framework of the second concept (D.S. Molyakov, E.I. Shokhin, N.G. Sychev and others), finance is considered as a category associated with all stages of social production, incl. exchange. The consequence of these opposite positions will be a different composition of financial resources. Within the framework of the reproductive concept, monetary transactions actually coincide with financial, and financial resources - with cash. But in this case, apparently, it is wrong to speak of an independent category that is different from money. On the other hand, adherents of the reproductive concept are closer to some modern approaches to considering finance as cash flows or as processes for creating funds and capital for various expenses, while the task of separating the essence of the phenomenon and its external forms of manifestation is not set.

Based on all of the above, we come to the conclusion that finance is a term, in the definition of which there is no single point of view today. The variety of interpretations of finance is explained by the different tasks of using the ϶ᴛᴏth concept (academic or applied approach), by various philosophical and economic schools.

Without denying the possibility of the existence of other points of view, the authors of this textbook believe that the above definition of finance, which demonstrates their distributive nature through the formation and use of cash income, receipts and savings of business entities, the state and municipalities, allows the most systematic consideration of financial relations arising between different economic entities.

Recognizing finance as a set of objectively existing economic relations, one should consider their functions - specific ways of expressing the inherent finances ϲʙᴏ ystv. In the publications of Russian economists, there is a great variety in determining the number and names of these functions. In particular, a number of authors (V. V. Ivanov, L. A. Drobozina, A. M. Babich and L. N. Pavlova) name the regulatory, stabilization functions, the functions of planning, organization, and reproduction. Quite often they are considered as a special case of distribution, but more often it is not about the functions of finance as an abstract concept, but about the functions of the state associated with the use of finance. A. M. Aleksandrov and E. A. Voznesensky divided the distributive function of finance into two: the formation of monetary funds (the process of redistribution) and their use (the process mediated by acts of sale). It is important to note that, however, with all this, most Russian scientists believe that the essence of finance is expressed through distribution and control functions.

It is important to note that one of the distinguishing features of finance will be their participation in the process of distribution. The distributive function is distinguished not only by Russian, but also by many foreign (in relation to public finance) authors.

The participation of finance in the distribution and redistribution of the value of the gross domestic product, income from foreign economic activity, part of the national wealth is shown in fig. 1.1. The value of the gross domestic product as a result of gross production, excluding intermediate consumption, is divided into primary income (profit, property income, indirect taxes, wages, mixed income) and depreciation (I), which primarily form the financial resources of organizations, the state and households .

Figure No. 1.1. Participation of finance in the distribution process

Income related to foreign economic activity (from foreign trade and foreign borrowings, dividends on securities of foreign issuers, pensions and other receipts) also participate in the formation of cash income of economic entities (II)

The process of redistribution affects the movement of funds between economic entities (III) Redistribution occurs: firstly, through the budget system - the receipt of direct taxes from the profits of organizations, incomes of individuals to the budget; state and municipal borrowings; cash transfers to organizations, households in the order of spending budget funds (allocations, subsidies, subventions, pensions, etc.); secondly, through the financial market - raising funds by issuing securities, placing shares and shares, credit agreements and loans by some economic entities and simultaneously placing temporarily free funds in ϲᴏᴏᴛʙᴇᴛϲᴛʙ assets by other entities; receipt of dividends, percent; insurance premiums and insurance indemnities (payments)

Part of the national wealth also participates in the process of distribution and redistribution (accumulations of past years: savings, depreciation deductions, proceeds and proceeds from the sale of property, etc.) (IV)

The generated incomes and savings are used by economic entities for consumption purposes (for example, expenses of social organizations), and are also directed for further accumulation (investments and savings) (V)

Based on all of the above, we come to the conclusion that we can conclude that the participation of finance in the distribution and redistribution of newly created value and partially the value of past years is a very complex process, characterized by high mobility of generated and spent cash income.

This process covers not only the distribution and redistribution of value in monetary form between organizations, the state and households, but also between the levels of state power and local government, between organizations of different spheres and types of activity, between individual social groups, between territories and industries, within industries and even farms. Finally, the mechanism of monetary accumulation allows us to talk about distribution over time (in particular, the creation of reserves during favorable periods and their spending when adverse events occur)

When characterizing the distribution function of finance, it is important to keep in mind that although the process of value distribution will be derived from the process of its creation, nevertheless, the new production cycle depends on how the value is distributed. Ignoring objective economic patterns in the organization of financial relations is fraught with negative consequences for the economic system as a whole. Since all economic entities participate in the distribution, it is possible, by changing its quantitative proportions, to influence economic and social processes. It is important to note that, however, with all this, this fact does not give grounds to single out the regulatory function of finance, since the regulation itself is carried out by the state, using the functions of the distribution function of finance.

Note that the control function is closely related to the distributive function. According to V. M. Rodionova, finances have the ability to quantitatively display the reproductive process as a whole and its various phases, due to which they are able to constantly “signal” how the distribution proportions are formed, whether the continuity of the reproductive process is ensured. Information about possible adverse economic events can be obtained through such financial indicators as stock exchange indices, dynamics of farm profitability, budget revenues, incl. tax, public debt, budget deficit and many others. The right choice of financial indicators for assessing the economic condition allows you to make effective management decisions. With ϶ᴛᴏm, one should not equate the control function of finance and financial control, since the implementation of financial control is a function of ϲᴏᴏᴛʙᴇᴛϲᴛʙ of the governing bodies (institutions), and not an abstract concept, which is understood in this chapter as finance.

Thus, both functions of finance will be in the process of formation and use of financial resources, sources, composition, classification criteria, the main directions for using them are discussed in the next paragraph.

Financial resources

Finance will be part of economic relations in society, but in practice we are not dealing with abstract relations, but with real money. The distribution and redistribution of value with the help of finance is accompanied by the movement of funds in the form of income, receipts and savings, which together constitute financial resources, which will be material carriers of financial relations.

With the wide use of the term "financial resources", its interpretation is different. In Russia, it was first used in the preparation of the first five-year plan of the country, which included a balance of financial resources.

In a more general sense, the "resource" in dictionaries is considered as a reserve, acting as a source of satisfaction of needs, the formation of funds. Since finance is an economic relationship mediated by money, it is obvious that financial resources are understood only as those resources that have a monetary form, in contrast to material, labor, natural and other resources. Based on all of the above, we come to the conclusion that we can draw the first conclusion that financial resources exist only in monetary form.

At the same time, financial resources - ϶ᴛᴏ not the entire amount of funds used by state authorities and local governments, as well as business entities. In addition to financial resources in the form of money, credit resources, personal monetary incomes of the population, etc. also function. Therefore, it will be important to highlight such signs of financial resources, which will allow them to be isolated from the total amount of money.

In any society, financial resources do not exist on their own, they always have an owner or a person to whom the owner has delegated the right to dispose of them. Financial resources cannot be outside property relations.

And only that part of the funds, which is owned or disposed of by business entities or state authorities and local governments and serves the process of social reproduction, refers to financial resources.

Their belonging to a specific business entity or state authorities and local self-government makes it possible to separate them from the part of the population's monetary income and savings that is not involved in the process of social reproduction.

At the same time, not all funds of business entities can be attributed to financial resources, but only those that mediate the processes of production of goods, the provision of various types of services, or can be used to finance the functions of public authorities and local self-government.

This implies the following sign of financial resources - they can always be used for the purposes of expanded reproduction, social needs, material incentives for workers, satisfaction of other social needs.

Based on the foregoing, we come to the conclusion that financial resources are understood as cash income, savings and receipts owned or disposed of by business entities or state authorities and local self-government and used by them for the purpose of expanded reproduction, social needs, material incentives workers, satisfaction of other social needs.

It is customary to attribute the value of the gross domestic product, part of the national wealth and income from foreign economic activity to the sources of formation of financial resources. Material published on http: // site

Part of the national wealth is involved in economic turnover in the form of carry-over balances of budgetary funds; funds from the sale of part of the country's gold reserves; proceeds from the sale of surplus, confiscated and ownerless property, income from privatization, etc. Financial resources come from foreign economic activity in the form of income from foreign trade operations, external state borrowings, foreign investments, etc.

Types of financial resources - ϶ᴛᴏ those specific forms of income, receipts and savings that are formed by business entities and government entities as a result of financial distribution. They will be: depreciation deductions, organization profits, tax revenues, insurance payments, etc.

The composition of the sources of financial resources of business entities will be influenced by the field of activity (material production or non-production sphere), the way of doing business, i.e. whether the organization pursues profit making as the main goal of its activity (commercial organizations) or does not have such a goal and does not distribute the profits received among the participants (non-profit organizations), organizational and legal form, industry specifics, etc.

Financial resources of a commercial organization - ϶ᴛᴏ cash income, savings and receipts owned or disposed of by the organization and intended to fulfill financial obligations, ensure reproduction costs, social needs and material incentives for employees.

The main sources of formation of financial resources of a commercial organization are:

• proceeds from the sale of products, works and services;
• proceeds from other sales (for example, retired fixed assets, inventories, etc.);
• non-operating income (fines received, dividends and interest on securities, etc.);
• budget resources;
• funds received as a result of the redistribution of financial resources within vertically integrated structures and industries.

The types of financial resources of a commercial organization will be profit from the sale of goods (works or services), from the sale of property, the balance of income and expenses from non-sales activities, depreciation, reserve and similar funds formed from the profits of previous years.

Directions for the use of financial resources of a commercial organization will be: payments to budgets of various levels and extra-budgetary funds, payment of interest on loans, repayment of loans, insurance payments, financing of capital investments, increase in working capital, financing of research and development work, fulfillment of obligations to owners of a commercial organization (for example, payment of dividends), material incentives for employees of the enterprise, financing of their social needs, charitable purposes, sponsorship, etc.

Financial resources of a non-profit organization - ϶ᴛᴏ cash income, receipts and savings used to carry out and expand the organization's statutory activities. The organizational and legal form and type of activity of a non-profit organization will affect the composition of the sources of financial resources, as well as the mechanism for their formation and use.

The main sources of financial resources of non-profit organizations ᴏᴛʜᴏϲᴙ are:

• contributions of founders and membership fees;
• income from entrepreneurial and other income-generating activities;
• budget resources;
• gratuitous transfers of individuals and legal entities;
• other sources.

The types of financial resources of non-profit organizations are budgetary funds, gratuitous transfers of legal entities and individuals, including grants, profits, depreciation deductions (except for budgetary institutions), reserve and similar funds (except for budgetary institutions), etc.

The financial resources of a non-profit organization can be used to achieve the main goal of its creation. These can be expenses related to the remuneration of employees, the operation of the premises, the purchase of equipment, payments to budgets and state off-budget funds, capital investments, major repairs of buildings and structures, etc.

In addition to business entities that conduct their activities as a legal entity, entrepreneurial activities can be carried out by individual entrepreneurs, who also form financial resources.

The sources of financial resources of individual entrepreneurs are personal savings and income received by them as a result of economic activity. Material published on http: // site
Excluding the above, entrepreneurs can attract borrowed funds for the implementation of their activities.

The financial resources of individual entrepreneurs can be used to expand the business, payments to the budget and state extra-budgetary funds, wages of employees, charitable contributions and donations, etc. In the event that entrepreneurial activity is terminated, all income received is directed to the personal consumption of the entrepreneur.

The sources of financial resources at the disposal of state authorities and local self-government are the gross domestic product, part of the value of national wealth and income from foreign economic activity. Material published on http: // site

Do not forget that the gross domestic product will be the main source of formation of state and municipal financial resources. But sometimes, for example, during periods of economic crisis or emergencies (revolutions, wars, major natural disasters, etc.), previously accumulated national wealth can act as a source of state and municipal financial resources.

The financial resources of state authorities and local self-government will be:

• tax revenues (organizational income tax, personal income tax, unified social tax, etc.);
• non-tax revenues (dividends on shares owned by the state and municipalities, income from the lease of state and municipal property, interest received from the provision of budget loans (budget loans), etc.);
• gratuitous transfers (from budgets of other levels, state off-budget funds, etc.);
• other income.

The use of financial resources at the disposal of state authorities and local self-government is directly related to the functions of the state: economic, social, managerial, strengthening defense capability; through financial resources, the important needs of society in the field of economic development, financing of the social sphere, the implementation of state and municipal government, strengthening the country's defense capability, etc. are met.

The formation and use of financial resources is carried out in the fund or non-fund form. The stock form is predetermined by the needs of state authorities and local governments that need financial resources to ensure its functioning, and by some needs of business entities that carry out expanded reproduction. When forming and using their financial resources, both multi-purpose and narrow-purpose funds can be used.

Financial funds have the following features:

• ϶ᴛᴏ a separate part, separated from the total amount of money;
• as a result of isolation, the monetary fund begins to function independently, and this independence is relative, there is a constant replenishment and use of funds;
• always created to finance a goal, and the goals can be of a different order, broad and narrow;
• has legal support, in which the issues of the procedure for its formation and use are regulated.

The stock form of education and the use of financial resources has advantages over the non-fund form. The formation of separately functioning financial funds with a clear regulation of the procedure for their formation and use ensures the concentration of financial resources to perform urgent tasks, allows them to be managed more efficiently and facilitates control over their formation and use. At the same time, if earlier the fund form was the main one, then in market conditions in the fund form, mainly financial resources of state authorities and local self-government are formed and can be used. Such funds include ᴏᴛʜᴏϲᴙt budgets ϲᴏᴏᴛʙᴇᴛϲᴛʙof extra-budgetary levels and extrabudgetary funds. The form of use of financial resources of business entities is currently less regulated by the state. The procedure for the use of financial resources by commercial organizations is determined by their constituent documents, and therefore a combination of fund and non-fund forms is possible here. Part of the resources of business entities can be directed to the formation of special-purpose funds (for example, economic incentives, reserve funds). The use of financial resources to fulfill financial obligations to budgets of different levels, state non-budgetary funds, banks, insurance organizations, payment of penalties is carried out in a non-fund form.

Financial relations are very diverse, and for further study it is extremely important to classify them, dividing them into separate groups, which will have similar features, be homogeneous, and systematize, revealing the relationship between the constituent elements.

In the entire ϲʙᴏ its totality ϶ᴛᴏ the variety of financial relations forms not a simple summand of elements, but a system that is an organic set of interacting elements, all structural divisions of which are interconnected. Despite the fact that each element in the financial system is relatively independent, it implements only its inherent specific functions, nevertheless, all elements interact both with each other and with other systems, and in practice these relationships are important. Excluding the above, the whole variety of financial relations in society has an organic integrity capable of development. In the process of isolating the constituent parts of financial relations, it is extremely important to find the correct classification sign for their division into structural groups, subgroups, in ϲᴏᴏᴛʙᴇᴛϲᴛʙii with a scientific criterion. The first such criterion will be the role of the subject in social reproduction, which determines the ways of organizing finance, the availability, procedure for the formation and use of financial resources and financial funds.

It is in ϲᴏᴏᴛʙᴇᴛϲᴛʙ and with a role in social reproduction that the subjects of financial relations have differences in the needs for the financial resources they need. Thus, the direct participants in social reproduction - organizations and citizens engaged in entrepreneurial activities, produce goods, are engaged in the provision of various kinds of services. It is worth saying that in order to carry out their activities, they need financial resources, which would provide the production process with the necessary amount of money. It should be said that economic entities will be characterized by financial relations that ensure the continuity of the process of production of goods and the provision of services: the implementation of capital investments, depreciation, filling the lack of working capital, etc. State authorities and local governments need financial resources to perform their functions - economic , social, political, to finance the constitutional rights of citizens, etc. And for the ϶ᴛᴏth group of financial relations, which provide financial resources for the performance of the functions of state authorities and local self-government, other forms and methods of organizing finance will be characteristic.

Based on all of the above, we come to the conclusion that the first classification feature, in ϲᴏᴏᴛʙᴇᴛϲᴛʙ and with kᴏᴛᴏᴩ the whole variety of financial relations is divided into component parts, will be the role of the subject in social reproduction, in ϲᴏᴏᴛʙᴇᴛϲᴛʙ and with which all financial relations are divided into two large groups, called spheres of the financial system - the finances of business entities, as well as state and municipal finances.

The presence of these areas in the financial system is objectively determined, since in any society there are business entities that provide the market with goods and services, and any state needs financial resources to carry out their functions.

It is worth saying that each area of ​​the financial system in turn also has structural elements and is divided into links. The finances of business entities are the initial sphere of the financial system, it is in the ϶ᴛᴏ sphere that the formation of primary financial resources takes place and the processes of distribution and redistribution of value begin. The finances of business entities, with all their diversity, ensure the process of producing goods and providing services, constantly replenishing and increasing production assets and non-production funds. Further grouping of financial relations within the sphere of finance of economic entities is carried out depending on the nature of the activity of the entity, which affects the sources of formation of financial resources, the procedure for using funds.

Some organizations as the main goal of their activities pursue profit, they will be commercial. In addition to commercial organizations, for the normal functioning of society, organizations are needed to meet the needs of the population in educational, cultural, scientific, charitable and other socially necessary benefits. It must be remembered that such organizations do not traditionally pursue profit as the main goal of their activities and do not distribute the profits among the participants; they need financial resources to carry out their statutory activities, and this also has an impact on the composition of financial relations, the participants of which will be such organizations.

In addition to legal entities, citizens engaged in entrepreneurial activities without forming a legal entity can also act as participants in commodity production.

Based on all of the above, we come to the conclusion that within the sphere of finance, business entities distinguish groups of financial relations in ϲᴏᴏᴛʙᴇᴛϲᴛʙii with the nature of the activities of the subjects. The sphere of finance of business entities is divided into the following links: finance of commercial organizations, finance of non-profit organizations, finance of individual entrepreneurs.

Business entities are formed and operate in certain organizational and legal forms, enshrined in legislation. The specifics of the organizational and legal form will also leave an imprint on the procedure for the formation and use of financial resources of business entities, the formation of certain financial funds. So, in the link of finance of commercial organizations, the organizational and legal form affects the procedure for the formation of authorized capital, the distribution of profits between participants, the degree of financial responsibility to other entities, in some commercial organizations, regulatory legal acts provide for the creation of special financial funds (for example, the creation of a reserve fund joint-stock companies)

The organizational and legal forms of non-profit organizations also affect the organization of finances, for example, the procedure for the formation and use of financial resources, the presence of membership fees, budgetary funds, the right to use borrowed funds, etc.

In ϲᴏᴏᴛʙᴇᴛϲᴛʙii with the organizational and legal form, as part of the finances of commercial organizations, the following are distinguished: finances of joint-stock companies (open and closed), finances of business partnerships, finances of limited liability companies, finances of production cooperatives, finances of state and municipal unitary enterprises.
It should be noted that a special place among them is occupied by the finances of state and municipal unitary enterprises. The financial resources of unitary enterprises are in state and municipal ownership, and the unitary enterprise disposes of them solely on the basis of the right of economic management or operational management. Despite the fact that the finances of unitary enterprises are state or municipal property, however, they are not included in the scope of state and municipal finance, since the financial relations of these organizations are similar to those of other commercial organizations. Excluding the above, when creating such organizations, a certain property separation of the financial resources transferred to them occurs; it involves not only the organizational allocation of ϲᴏᴏᴛʙᴇᴛϲᴛʙ of funds, but also the recognition of the ownership of the funds transferred to a particular organization, with the latter endowed with a set of rights and obligations for their management.

As part of the finances of non-profit organizations in ϲᴏᴏᴛʙᴇᴛϲᴛʙii with an organizational and legal form, finances of institutions, finances of consumer cooperatives, finances of public and religious organizations (associations), finances of foundations, etc. are distinguished.

A separate place in the link of finance of non-profit organizations is occupied by the finances of budgetary institutions, primarily because it is budgetary institutions that provide the population with the necessary social services in the field of education, healthcare, etc. The specifics of the functioning of the finances of budgetary institutions is due to the fact that one of the main sources of their financial resources will be budgetary funds, it is ϶ᴛᴏ that ensures a close relationship between the finances of budgetary institutions with the sphere of state and municipal finance; the mechanism of functioning of their financial resources is additionally regulated by budget legislation. Moreover, since it is budgetary institutions that provide the needs of the population for social services, in some textbooks, the features of organizing the finances of budgetary institutions, due to their specifics, are considered together with general issues of the functioning of public finances and financing of the social policy of the state. It is important to note that, however, with all this, the finances of budgetary institutions are part of the finances of business entities, since during their creation and functioning, by analogy with unitary enterprises, property and financial resources are segregated, as well as granting the budgetary institution the right to dispose of this property (the right to operational management )

The link of finance of individual entrepreneurs appeared in the financial system of our country relatively recently, since only with the beginning of market transformations, citizens of the Russian Federation received the right to engage in entrepreneurial activities as individual entrepreneurs. Entrepreneurial activity is understood as an independent activity carried out at ϲʙᴏy risk, aimed at systematically obtaining profit from the use of property, the sale of goods, the performance of work or the provision of services by persons registered in their capacity in the manner prescribed by law.

Today, lawyers, doctors, detectives, farmers, citizens engaged in retail activities, etc. can act as individual entrepreneurs. Their financial relations are specific, since their personal income and savings are involved in the economic turnover of entrepreneurs, and vice versa, entrepreneurial income can be used not only to maintain and expand the business, but also for personal consumption.

In a huge set of financial relations characteristic of any country, there is a sphere determined by the functioning of public authorities and local self-government. The objective need in this area is related to the fact that state authorities and local self-government bodies require the financial resources necessary to carry out their activities, to perform the economic, social and other functions assigned to them. Therefore, the second area of ​​the financial system will be state and municipal finances, through which financial resources are formed from these bodies. The Constitution of the Russian Federation, as well as Federal Laws No. 154-FZ of August 28, 1995 “On the General Principles of Organization of Local Self-Government in the Russian Federation” and No. 126-FZ of September 25, 1997 “On the Financial Basis of Local Self-Government in the Russian Federation” proclaimed the principle of independence of local self-government. In 1998, the Federal Assembly of the Russian Federation ratified the Charter of Local Self-Government adopted by the Council of Europe, which entered into force on the territory of the Russian Federation on September 1, 1998. Local self-government is one of the manifestations of democracy, involving independent activity (directly or through local governments) to resolve issues of local importance based on the interests of the population, historical and other local traditions. As an expression of democracy, local self-government is one of the foundations of the constitutional system of the Russian Federation. As a result of these changes, the considered sphere of financial relations began to be called "state and municipal finance", which emphasizes the independence of the latter.

Financial relations within this sphere have the ability to influence other spheres and links of the financial system, influence the volume and structure of social production, and regulate sectoral and territorial proportions. Within the ϶ᴛᴏth sphere, the allocation of structural elements depends on the form of organization of state and municipal financial resources in the country.

Any bodies of state power and local self-government cannot exist without the formation and use of ϲᴏᴏᴛʙᴇᴛϲᴛʙ budgets, in which financial resources are accumulated to finance the functions assigned to these bodies. With ϶ᴛᴏm, budgets always have a multi-purpose purpose. With the exception of the above, in some countries at the disposal of the authorities there are other financial funds, traditionally narrow-purpose, used as an additional source of financing certain expenses. It must be remembered that such funds are formed outside the budgets and are called off-budget funds, they are traditionally created to finance certain expenses - social protection of citizens, priority economic and environmental measures. Based on all of the above, we come to the conclusion that the following links are distinguished in the sphere of state and municipal finance: the budgets of state authorities and local self-government, extra-budgetary funds.

As part of the sphere of state and municipal finance in relation to Russia, the following organizational forms of budgets can be distinguished, which ϲᴏᴏᴛʙᴇᴛϲᴛʙ correspond to the level of government or local government: the federal budget, the budgets of the constituent entities of the Russian Federation (regional budgets) and local budgets.

The federal budget will be the main instrument for redistributing the gross domestic product created nationwide. At the federal level, the main directions of the budget policy in the country are being formed, the basic principles of building interbudgetary relations are being determined.

In ϲᴏᴏᴛʙᴇᴛϲᴛʙii with the Constitution of the Russian Federation, there are six different types of regional budgets, and their total number is 89. This includes 21 republican budgets of the republics within Russia, 6 regional, 49 regional, 1 regional budget of an autonomous region, 10 district budgets of autonomous districts, 2 city budget of federal cities - Moscow and St. Petersburg.

The third level of the budget system of the Russian Federation is also represented by different types of budgets. Given the dependence on the types of municipalities, on the territory of which ϲᴏᴏᴛʙᴇᴛϲᴛʙlocal budgets function, district, city, rural and settlement budgets are allocated, as well as the budgets of closed administrative-territorial formations (ZATO)

In the financial system of the former Soviet Union, which included Russia (the former RSFSR), there were no off-budget funds as an independent link in public finance. The state social insurance budget, which had been formed since 1938, was part of the State Budget of the USSR. The transition to market relations has led to the emergence of a new link in the financial system - off-budget funds. In the 1990s 20th century in the context of increasing social risks, as well as in accordance with the requirements of international law, state social insurance funds were allocated from the budget system. Based on all of the above, we come to the conclusion that the Pension Fund of the Russian Federation, the Social Insurance Fund of the Russian Federation, compulsory medical insurance funds and the State Employment Fund of the Russian Federation were created (which was abolished in 2001)

Excluding the above, in the 1990s. many off-budget funds for economic purposes were created at all levels of government, road funds, environmental funds, housing finance funds, etc. appeared. So, at present, only three state non-budgetary funds for social purposes are functioning in Russia - the Pension Fund of the Russian Federation, the Social Insurance Fund of the Russian Federation, the Federal and Territorial Compulsory Medical Insurance Funds, the funds of which can be used as an additional source of financing social security of the population.

The Pension Fund of the Russian Federation - a cash fund formed outside the federal budget, will be the main material base for pension provision. This is the largest of all state non-budgetary funds, whose important place in the financial system of the Russian Federation is explained by its social significance (there are about 35 million pensioners in Russia) and the large amount of financial resources mobilized in it.

The Social Insurance Fund of the Russian Federation will be the second among non-budgetary funds in terms of the volume of redistributed financial resources; is intended for the implementation of state guarantees for the social security of citizens in case of temporary disability due to illness, disability, birth and upbringing of children, etc.

Compulsory medical insurance funds provide citizens of the Russian Federation with the opportunity to receive certain types of medical care free of charge. In particular, the guaranteed volume of free medical services includes: outpatient care; emergency; treatment of acute diseases; pregnancy and childbirth services, etc.

In view of the foregoing, the financial system is defined as a set of interconnected spheres and links of financial relations, has the following form (Fig. 1.2)

The grouping of financial relations by spheres and links of the financial system does not remain unchanged, undergoing changes under the influence of revolutionary changes, the emergence of new types of ownership. In the course of economic development, changes in the forms of financial ties within the country and in the international arena, and the improvement of economic methods in society, new types of financial relationships may also appear. Despite the fact that the financial system is a set of objectively existing financial relations, nevertheless, the composition of its spheres is influenced by the degree of development of these relations in society and the development of scientific views on the essence of finance. So, in the composition of the financial system of the USSR, insurance was singled out as one of the areas. This was due to the fact that at that time insurance was considered as part of finance as an economic category. With the development of market relations in the country, insurance relations themselves developed, the need for insurance as a method of insurance protection of property and income of individuals and legal entities increased, new types of insurance appeared, and the insurance business was demonopolized. Therefore, we support the point of view that insurance is considered as an independent economic category, despite the close connection of financial and insurance relations, and is not included in the financial system of the Russian Federation.

Figure No. 1.2. Spheres and links of the financial system

The spheres and links of the financial system discussed above are closely interconnected. The finances of business entities interact with state and municipal finances - when paying taxes and insurance payments to budgets and extra-budgetary funds, when certain organizations receive budgetary funds to finance their activities, etc. Within the sphere of finance of business entities, there are relationships between organizations in the implementation of financial transactions, which include, for example, the payment of fines, other sanctions, making share contributions, investing funds, participating in the distribution of profits, receiving dividends, etc.

State and municipal finances as a sphere of the financial system are also characterized by close interaction of structural links among themselves and with the sphere of finance of business entities. So, within the sphere of state and municipal finance, various interbudgetary relations arise between the levels of the budget system and types of budgets. Excluding the above, budgets interact with extra-budgetary funds when transferring funds from the budget to extra-budgetary funds for certain targeted expenses, when using the balances of extra-budgetary funds for the purchase of government securities, etc. institutions, since the financial resources of the latter are formed mainly at the expense of the budgets of all levels of the budget system of the Russian Federation.

Extra-budgetary funds, as part of the sphere of state and municipal finance of the country, have relationships with the finances of business entities - when organizations and individual entrepreneurs pay insurance premiums, taxes and other payments and when business entities receive amounts for certain types of expenses; with the budget - when receiving appropriations for certain targeted expenses, as well as when using funds from funds in the presence of a surplus to cover the budget deficit; with other off-budget funds - when transferring certain funds from one fund to another.

The specifics of each area and link of the financial system determines not only the features in the composition and structure of financial resources, the availability and organizational structure of financial funds, but also affects the processes of financial planning and control in different areas and links of the financial system.

Do not forget that it will be important to say that the term “financial system” in the economic literature means not only the totality of organized and interconnected financial relations in society, but also the totality of financial institutions in the country, i.e. There are two meanings of the term "financial system". In this chapter, the financial system is considered only as a set of financial relations. Financial controls will be discussed in Chapter 3, Financial Management.

test questions

1. Define finance, indicate their specific features.
2. Describe the distribution and reproduction concept of finance.
3. What will be the object of the distributive function of finance?
4. What is the content of the control function of finance?
5. What are financial resources?
6. List the sources and types of financial resources of business entities and public authorities and local self-government.
7. Give examples of fund and non-fund forms of education and use of financial resources.
8. Give examples of legal acts regulating the procedure for the formation and use of financial funds in the field of state and municipal finance.
9. Define the financial system.
10. What new elements of the financial system have appeared in the context of market transformations in our country?

Tasks for independent work

1. Compare the definitions of finance by different authors in reference and educational literature. Find the reasons for the discrepancies in the interpretation of the ϶ᴛᴏth term.
2. Give examples of the distribution of the value of the gross domestic product, income from foreign economic activity and part of the national wealth, which occurs with the help of finance.
3. Draw a diagram of the financial system, show on it the relationship between areas and links.

Financial resources are the cash receipts and incomes of entrepreneurs, which are intended to expand and ensure production, provide material incentives, satisfy needs, and so on. They are the material embodiment of economic relations.

Sources of financial resources

The most important of these is the value of a country's GDP, which is made up of profits, wages, and capital.

Their sources at the macro level are:

• income from;
• attracted resources (loan);
• national wealth.

The sources at the micro level are the following:

• attracted funds (loan, funds from the sale of bonds, shares, etc.);
• finances that are received by the company in the order of distribution (insurance replenishment and so on);
• and those that are equated to them (holidays and wages of employees).

Financial resources are working and fixed capital. Them
the formation takes place at the initial level, at the time of the formation of the enterprise, when the share capital appears. We are talking about the property of the organization, which was created with the help of constituent contributions. Therefore, financial resources are those that are available to management after the current costs of covering expenses and paying salaries have been incurred.

Financial resources are organized, planned and stimulated with the help of a special mechanism, which consists of a complex of interconnected elements. Let's consider them in more detail:

• Economic methods are ways of influencing the production process. Thanks to their action, financial resources are formed and applied.
• Legal support "works" on the basis of legislative acts, resolutions, orders and other legal documents.
• Financial leverage - these are techniques that "launch" financial resources.
• Regulatory support is rules, orders, instructions, norms, methodological explanations, instructions, tariff rates, etc.
• Information support is various commercial, economic, financial support. It also includes information about the financial solvency and stability of competitors and partners, the cost of goods, rates, percentages, dividends in the markets (stock, commodity, currency), the situation on the stock exchange, the commercial activities of entities, and so on.

Financial resources are usually used in the following areas:

1. Support the production process (investment costs, repairs, acquisition of intangible assets, payment of bonuses to stimulate employees, financing
2. Application for the needs of defense, security, public authorities and law enforcement agencies.
3. The cost of fulfilling monetary obligations to investors, founders, shareholders, and so on.

Financial resources are formed and used taking into account a special management system. We are talking about management, whose activities are aimed at achieving the tactical and strategic goals of the organization.

For optimal management, management needs to:

• organize and manage the company's relations in the economic sphere with other enterprises, insurance companies, banks, budgets of any level, as well as financial relations within the organization itself;
• form financial resources, predict their receipt and optimize;
• allocate capital and accompany the process of its functioning;
• analyze and direct

Analysis of the financial condition of the enterprise: methodology, key indicators and their relationship.

In the structure of the financial interrelations of the national economy, the finances of enterprises (organizations, institutions) occupy the initial, determining position, as they serve the main link in social production, where material and intangible benefits are created and the predominant mass of the country's financial resources is formed. Enterprise finance is not only an integral, but also a specific part of finance. They are characterized, on the one hand, by features that characterize the economic nature of finance in general, and on the other hand, by features due to the functioning of finance in various spheres of social production.

All social production, depending on the nature of the labor expended in it, is divided into two large areas : material production and non-material production. The peculiarity of the first sphere is that goods are produced here, the specificity of the second is the provision of various kinds of services (household, communal, social, etc.). The basis of the organizational structure of material production is formed by enterprises, associations, associations, institutions, organizations and other structures operate in the non-productive sphere.

In the branches of material production, various financial relations arise. Taking into account the specifics of earmarked funds formed on their basis, the following groups of relatively homogeneous monetary relations can be distinguished as part of financial relations:

associated with the formation of primary income, the formation and use in economic units of material production of target funds for on-farm purposes - the authorized fund, the production development fund, incentive funds, etc. Some of them are used to meet production needs, others - consumer;

arising between enterprises, if these relations are of a distributive nature, and do not serve the exchange. The movement of financial resources on the basis of these monetary relations is carried out in a non-fund form: payment and receipt of fines in case of violation of contractual obligations, making share contributions by members of various associations, their participation in the distribution of profits from the cooperation of production processes, investing in shares and bonds of other enterprises, receiving him dividends and interest, etc.;

emerging material production enterprises with insurance organizations in connection with the formation and use of various kinds of insurance funds;

formed by enterprises with banks in connection with obtaining bank loans, repaying them, paying interest on them, as well as providing banks with free cash for temporary use for a certain fee;

arising from enterprises of material production with the state regarding the formation and use of budgetary and extrabudgetary funds. This group of financial relations takes the form of payments to the budget, budget financing, payments to various off-budget funds, etc.;

emerging from enterprises with their higher management structures. These are the so-called "vertical" relationships that have been preserved within the boundaries of the intra-industry redistribution of financial resources.

The listed types of monetary relations constitute the content of the finances of enterprises (organizations), which can be defined as monetary relations associated with the formation and distribution of cash income and savings from business entities and their use to fulfill obligations to the financial and banking system and finance the costs of expanded reproduction, social services and material incentives for workers.

The finances of enterprises are characterized by the same features that are inherent in the category of finance as a whole, however, they have features due to the characteristics of the material production itself. So, at enterprises that are the main link in management, the main economic processes take place, the foundation of the economic structure of society is formed. The financial relations that take shape in material production have a great influence on the entire system of financial interrelations in the national economy.

2. Financial resources of the enterprise, features of their formation and use.

The financial resources of an enterprise are cash incomes and receipts at the disposal of a business entity and intended to fulfill financial obligations, implement costs for expanded reproduction and economic incentives for employees. The formation of financial resources is carried out at the expense of own and equivalent funds, mobilization of resources in the financial market and receipt of funds from the financial and banking system in the order of redistribution.

The initial formation of financial resources occurs at the time of the establishment of the enterprise, when the statutory fund is formed. Its sources, depending on the organizational and legal forms of management, are: equity capital, shares of members of cooperatives, sectoral financial resources (while maintaining sectoral structures), long-term credit, and budgetary funds. The value of the authorized capital shows the amount of those funds - fixed and circulating - that are invested in the production process.

The enterprise is considered established and acquires the rights of a legal entity from the date of its state registration by the local authority at the place of establishment of the enterprise. Data on state registration within a month are reported to the Ministry of Finance of the Russian Federation for inclusion of the enterprise in the State Register.

The main source of financial resources at operating enterprises is the cost of products sold (services rendered), various parts of which, in the process of distributing revenue, take the form of cash income and savings. Financial resources are formed mainly from profit (from the main and other activities) and depreciation. Along with them, the sources of financial resources are: proceeds from the sale of retired property, stable liabilities, various targeted revenues (payment for the maintenance of children in pre-school institutions, etc.), mobilization of internal resources in construction, etc.

The processes of privatization of state property unfolding everywhere will lead to the fact that another source of financial resources appears and is already playing an important role - share and other contributions from members of the labor collective.

Significant financial resources, especially for newly created and reconstructed enterprises; can be mobilized in the financial market. The forms of their mobilization are: the sale of shares, bonds and other types of securities issued by this enterprise, credit investments.

The grouping of the financial resources of an enterprise in accordance with the sources of their formation can be represented as follows:

The use of financial resources is carried out by the enterprise in many areas, the main of which are:

Payments to the authorities of the financial and banking system, due to the fulfillment of financial obligations. These include: tax payments to the budget, payment of interest to banks for the use of loans, repayment of previously taken loans, insurance payments, etc.;

Investment of own funds and capital expenditures (reinvestment) associated with the expansion of production and its technical renewal, the transition to new advanced technologies, the use of "know-how", etc.;

Investing financial resources in securities purchased on the market: shares and bonds of other firms, usually closely associated with cooperative supplies with this enterprise, in government loans, etc.;

The direction of financial resources for the formation of monetary funds of an incentive and social nature;

Use of financial resources for charitable purposes, sponsorship, etc.

With the transition to a market economy, not only the role of enterprise managers, members of the boards of joint-stock companies, but also financial services, which played a secondary role in the conditions of administrative-command methods of management, unusually increases. Finding financial sources for the development of an enterprise, directions for the most effective investment of financial resources, operations with securities and other issues of financial management become the main ones for the financial services of enterprises in a market economy. The essence of financial management lies in such an organization of financial management by the relevant services, which allows you to attract additional financial resources on the most favorable terms, invest them with the greatest effect, and carry out profitable operations in the financial market by buying and reselling securities. Achieving success in the field of financial management largely depends on such behavior of employees of financial services, in which the main ones are initiative, the search for unconventional solutions, the scale of operations and justification for this risk, and business acumen.

Mobilizing the funds of other owners to cover the costs of their enterprise, employees of the financial service must first of all have a clear idea of ​​​​the purposes of investing resources and, in accordance with them, give recommendations on the forms of raising funds. To cover the short-term and medium-term need for funds, it is advisable to use loans from credit institutions. When making large capital investments in the reconstruction and expansion of the enterprise, you can use the issue of securities; however, such a recommendation can be given only if the financiers have thoroughly studied the financial market, analyzed the demand for different types of securities, took into account the possible change in the market situation and, having weighed all this, are nevertheless confident in the relatively quick and profitable sale of their securities. enterprises.

And etc.); regional finance(budgets and off-budget funds of various administrative-territorial entities); finances of enterprises, organizations, firms. The finances of firms and enterprises occupy a decisive position in the structure of the country's financial system, since it is at the level of enterprises that the predominant mass of the state's financial resources is formed.

General concept of financial resources

Cash income accumulated by their owners for subsequent spending, as well as funds attracted as loans, amount to financial resources, which divided into own and borrowed(credit). For budgets of all levels, financial resources are mobilized revenues and attracted loans. For enterprises, this is equity, profits, loans received and securities placed on the market. For employees, a financial resource is income in the form of wages, as well as loans (for example, bank, consumer and pawnshop loans).

Own financial resources are at the complete disposal of their owner, and credit are attracted for a period and are subject to return along with interest payments for their use.

Sources credit resources temporarily free funds of enterprises, the population, and in some cases the state also act. The buying and selling of these resources is focused on the financial market. It consists of two parts: the loan capital market and the securities market. Its main function is to provide economic entities with additional funds at a certain percentage.

Enterprise finance is part of the nationwide financial system

Enterprise Finance- an integral part of the whole.

The finances of economic units are dependent on the government's economic policy. The main areas of state regulation of the financial activities of enterprises include: pricing, tax system, money circulation, credit, forms of payments and settlements, organization of circulation (), state licensing of economic activities, foreign economic relations, budget financing (Fig. 55).

control function

The control function of the organization's finances is to monitor the financial condition and performance testing her activities. So, for example, control over allows you to determine the degree of effectiveness of the economic activities of the organization. Along with this, the finances of an organization are able to influence the degree of efficiency of its economic activity through the so-called ruble control, which is carried out within the organization, in its relationship with other participants in business turnover, a higher organization, the state and other participants in the financial system. Inside the enterprise, the ruble controls the quality and quantity of labor, use, etc. Control of the ruble in relations with other participants in the business turnover is carried out subject to contractual obligations. The economic activity of the enterprise is controlled by the ruble in the process of fulfilling obligations to the budget.

The control function is implemented in two ways through:

• financial indicators in, statistical and operational reporting;
• financial impact, which is carried out with the help of economic levers and incentives (taxes, benefits, subsidies, etc.).

Maintenance function

The function of servicing the movement of the organization's income is the second function that reveals the content of the enterprise's finances. Since the movement of enterprise income is associated with the renewal of consumed resources, this function is often called reproductive. This feature is associated with the need to ensure the continuous movement of income in the course of business activities of the enterprise. The effectiveness of the process of servicing the organization's finances for the movement of its income depends on the correspondence of flows and cash resources that ensure the economic activity of the organization. In many ways, this compliance determines the ability to timely and fully fulfill their obligations to other subjects of financial relations.

Distribution, servicing and control functions reveal the content of the organization's finances in the process of movement of each of the three forms of its income - primary, secondary and final.

The functions of the organization's finances act in interconnection and interdependence. Servicing the movement of income is impossible without its distribution, and ensuring compliance between the flows of material and financial resources is achieved using the control function of the organization.

As part of the financial relations of enterprises the following groups of monetary relations of enterprises are distinguished:

• with counterparties regarding the generation of income and the use of funds;
• with enterprises regarding the distribution of finance; in non-fund form (payment and receipt of fines in case of violation of contractual obligations, making various share contributions, participating in the distribution of profits from joint activities, acquiring securities of other enterprises and the state, receiving dividends on them, etc.);
• with consumers of products in accordance with contracts;
• with insurance organizations regarding various types of compulsory and voluntary insurance;
• with the banking system regarding settlement and cash services in connection with obtaining and repaying loans, paying interest, as well as providing banks with free cash for temporary use for a certain fee;
• with the state on the formation and use of budgetary and non-budgetary funds;
• with higher management structures, vertical and horizontal relationships regarding intra-industry redistribution of financial resources.

These groups of monetary relations constitute, on the whole, the content of enterprise finance. Firm Finance represent monetary relations associated with the formation and distribution of cash income and savings among business entities, and their use, the fulfillment of obligations to the banking system, the financing of current costs and the costs of expanded reproduction, social security and material incentives for workers.

Financial resources of the enterprise and their structure

Financial resources enterprises are his and.

Formation and replenishment financial resources(main and working capital) is an important financial issue. Primary the formation of these capitals occurs at the time of the establishment of the enterprise, when it is formed.

Authorized (share) capital- the property of the enterprise, created at the expense of the contributions of the founders.

Financial resources- this is the money remaining at the disposal of the enterprise after the implementation of current costs to cover material costs and wages.

Main source formation of financial resources- this is .

Sources of formation of financial resources of the enterprise: profit; proceeds from the sale of retired property; depreciation; growth of sustainable liabilities; loans; target receipts; share contributions. In addition, the company can mobilize financial resources in various sectors: sale of shares, bonds; dividends, interest; loans; income from other financial transactions; income from the payment of insurance premiums, etc. (Fig. 57).

Significant financial resources of the enterprise can be mobilized for financial market.

The main direction of using financial resources is investing in expanded reproduction.

• investing in capital investments to expand production;
• investing in securities;
• payments to the budget, the banking system, contributions to off-budget funds;
• formation of monetary funds and reserves.

The main source of financial resources of the enterprise is its profit (Fig. 58). Profit - part of the gross income of the enterprise.

Gross income of the enterprise- proceeds from the sale of products minus costs.

Important component gross profit - profit from the sale of fixed assets (Fig. 59).

Other component gross profit - profit from non-operating activities (renting property, income from securities, etc.).

Among the main sources of financing for the expanded reproduction of fixed assets is depreciation. This is the process of transferring the value of fixed assets and intangible assets to production and products sold as they wear out. Accumulated depreciation amounts should be used for long-term investment.

Depreciation- the main source of self-financing in enterprises.

It has a strong impact on business finances. tax system. Three elements of the tax system are most important for the finances of an enterprise: tax rates; the tax base; deadlines for paying taxes to the budget.

Enterprise finance management

The formation and use of financial resources is impossible without a financial management system for enterprises.

Financial management (financial management) is an activity aimed at achieving the strategic and tactical goals of the functioning of this enterprise.

Enterprise financial management includes:

• organization and management of enterprise relations in the financial sector with other enterprises, banks, insurance companies, budgets of all levels, as well as financial relations within the enterprise;
• formation of financial resources and their optimization;
• placement of capital and management of the process of its functioning;
• analysis and management of cash flows in the enterprise.

The main functions of a financial manager:

• financial planning, budgeting of the enterprise, pricing policy, sales forecasting;
• formation of the capital structure and calculation of its price;
• capital management (work with securities; control and regulation of monetary transactions; investment analysis; management of fixed and working capital);
• analysis of financial risks;
• protection of property;
• evaluation and consultation.