Research On Financial Risk Early Warning Of Z Real Estate Company

Due to the complex and volatile current economic environment and the superimposed impact of the ongoing three-year epidemic,the normal business activities of enterprises have been greatly disrupted and the financial risks of many enterprises are rapidly increasing,especially the huge financial risks faced by the real estate industry have attracted widespread attention.Domestic and foreign enterprise risk prevention experience shows that carrying out financial early warning is an important means to reduce and control the financial risks of real estate companies in the real estate industry.Firstly,this paper reviews the relevant literature and methods of financial risk early warning of domestic and foreign enterprises,and clarifies the principle and application of financial risk early warning model.Then,according to the relevant theories of financial risk early warning,the operating conditions of Z company,the status quo of its real estate industry,the current financial risk and early warning status of Z company are analyzed.On this basis,the defects of Z company in the financial risk early warning are found,and the feasibility and necessity analysis of the construction of the financial risk early warning system in this paper is proposed.Then the company’s specific situation is combined to improve the financial risk early warning system: first,the index is preliminarily selected according to the construction principle of financial risk early warning system,Pearson correlation analysis is used to further screen the early warning indicators at all levels,and the construction of the financial risk early warning index system is completed;Second,the entropy method is used to evaluate the selected Early warning indicators are weighted;Thirdly,the efficiency coefficient method is optimized,and the evaluation standard value and warning interval are determined by referring to the Standard Value of Enterprise Performance Evaluation.Finally,the early warning system is applied to Z real estate company to calculate its various levels of alarm from 2017 to 2021.Through specific analysis,the financial risks the company may face are found,the future trend of the company’s financial situation is predicted,and the corresponding risk prevention measures are proposed.Through the research,it is found that the financial risk warning results obtained by the early warning system are consistent with the actual situation of the company,which verifies the reliability of the early warning system.It is expected to help the company prevent financial risks,ensure the company’s sustainable,healthy and stable development,and also provide reference for other enterprises in the industry.