The Financial Analysis Studies From The Perspective Of Loan Examination And Approval

Risk management is the core of banking business, and the examination and approval of a loan is the core process for bank risk management. The purpose for analyzing and evaluating the financial condition of an enterprise is to assess the risk degree and determine whether that is acceptable by the bank.This thesis is written from the perspective of a loan examiner and approver. It analyzes and assesses the financial status of an enterprise regarding its external and internal condition, appearance and essence, and the relation between noumenon and correlation, so as to form appropriate opinions on loan project and provide support for loan risk prevention.To analyze the financial status of an enterprise from the perspective of a loan examiner and approver of a commercial bank, this thesis recommends first of all to learn and get the comprehensive information of the financial condition of an enterprise using the conventional method, and then to examine, verify and analyze the quality of the financial information from different perspectives in various methods to induce and reveal the major tricks in presenting a false financial statements. The true financial condition of an enterprise will be found out using various methods from different perspectives and thus a foundation for getting the accurate idea of the development trend of an enterprise and the financial risk will be laid. Meanwhile, to verify the financial condition of an enterprise using non-financial information and to get the financial development trend and path will provide reliable technical support for the examination and approval of loan project and prevention of loan risk.This thesis is an applied research on the conbination of financial accounting theory and banking practice. On the basis of theoretical analysis, experiences and methods of loan examination and approval in practice are induced and summerized. It is suggested that the financial condition of an enterprise should be analyze from the perspective of an examiner and approver. It emphasizes the importance of assessing the quality of financial accounting information and reveals common methods used in presenting false financial information. It also analyzises and adjusts the methods to get rid of the false financial information. To asses the financial condition of an enterprise through the conbination of its non-financial information from different perspectives, to make compreh(?)nsive judgement of the advantages of clients from various perspectives and to indentify risk factors of clients ao as to form appropriate opinions are also discussed. Preventing loan risks in the process of examination and approval will be conducive to the prevention and control of bank risks.