Application Research On Financial Statement Analysis Method Under Commercial Bank Credit Approval Decision

With the rapid development of China's banking and financial industry,credit business has become the main business and source of bank income for China's commercial Banks.Therefore,a set of effective credit risk management decision-making method can effectively control the risk and determine whether the commercial bank can develop healthily and sustainably in the future.The decision of credit risk management is the core content of risk management.In order to ensure the quality of credit assets,how to scientifically and effectively make the decision of commercial credit approval is an important problem that commercial Banks always face.In the credit examination and approval work of the bank,the loan applicant is usually required to provide financial statements,which include the complete financial statements audited by the accounting firm for nearly three consecutive years and the detailed explanation of the increase or decrease of important accounting items.This is a method of credit risk assessment and credit approval decision-making based on financial statements provided by enterprises.This method is based on the audited financial statements provided by the enterprise.The bank grasps the financial status of the enterprise through the financial statement information provided by the enterprise applying for loan,so as to make the decision of credit permission.The emphasis is quantitative analysis of data.At this stage in our country commercial bank credit approval decision,financial analysis is still plays a vital role,so the written approval of commercial bank credit personnel review financial statements analysis section can reflect real,objective and comprehensive enterprise management situation,the final for examination and approval of business personnel will be able to make a scientific and reasonable credit decisions,plays a vital role.Faced with the increasing demand for credit and the diversity of credit assets,the past analysis methods cannot meet the market demand.Therefore,only through the form of financialstatements provided by the enterprise analysis,can not completely objectively and truly reflect the enterprise's financial status and business performance.Therefore,the establishment of a set of effective analysis methods for credit approval decisions will help G bank to take effective measures to control credit risks and improve the quality of the development of bank credit assets.Asymmetric theory at home and abroad based on the existing theory,signal,signal transmission theory,the traditional financial statement analysis method,the harvard analysis framework,professor zhang xinming "eight" and so on the basis of theory research,the method,combining with the author's own credit approval work around three credit approval substantive issues summarized a set of can use financial statement analysis method in the credit approval decision.The method expands on three aspects of how to control the real risk of credit: "what enterprises borrow money for,what sources of repayment are,and what measures cannot be returned".To control credit risk to the substantial contents of the above three aspects in the G bank credit approval to the practical work of concrete can be divided into the following nine aspects mainly: at the beginning of the audit opinion type,balance sheet analysis,operation ability analysis,profitability analysis,cash flow analysis,financial overall status analysis,financial statement analysis method and the cross validation of non-financial information analysis,finance analysis,correlation analysis,the comprehensive audit report.Next,through A practical case in the author's work,the whole process of loan approval decision making by credit examiners using the relevant verification analysis method under the framework of G bank credit approval analysis is described.By comparing the differences between the traditional financial statement analysis methods of other Banks and the credit decisions of a series of analysis methods under the credit approval framework,it is concluded that the credit decisions obtained under the credit approval framework are conducive to better controlling credit risks,improving the decision-making efficiency and quality,and thus improving the allocation efficiency of the whole capital market.By building the basic framework is based on the analysis of the credit approval,a series of methods of credit decisions to G bank credit approval decision makers to provide more comprehensive and effective information,optimize the decision-making efficiency so that they can avoid errors,improve the G bank credit business review the quality of the examination and approval,improve the efficiency of commercial bank operation and management,further improve the allocation efficiency of the capital market.