The Role of Financial Analysis in Assessing the Business Activity of an Enterprise

This article examines the role of financial analysis in assessing the business activity of an enterprise and its importance in improving the efficiency of financial and economic management. The study considers the theoretical and methodological foundations of financial analysis and identifies the key indicators used to evaluate business activity, including asset turnover, accounts receivable and payable turnover, inventory turnover, capital efficiency, profitability, liquidity, and financial stability. Particular attention is paid to the relationship between financial performance and the level of business activity of an enterprise. The article highlights the importance of financial analysis in identifying internal reserves, detecting negative trends, evaluating the efficiency of resource utilization, and supporting managerial decision-making.