POSITIVE ASPECTS OF THE CASH METHOD IN SMALL BUSINESSES IN A PANDEMIC ENVIRONMENT

Abstract

One of the important tasks of the present period is to find ways to slow down, stop and overcome the crisis that has arisen in the economy in the short term under the influence of the pandemic and is continuing on an increasingly large scale. In the face of this negative reality, all enterprises must quickly adapt to the unusual conditions. Business entities that have acted correctly in the face of unusual circumstances and their demands have maintained their viability and are gradually recovering from the effects of the crisis.

In a pandemic (unusual) environment, one of the most important and central issues for enterprises is to find, attract, use sufficient funds to ensure business continuity, and to establish appropriate economic mechanisms, tools or methods to properly manage transactions that can increase them. Accounting and economic analysis play an important role in this regard. There are many ways to implement the optimal use of cash in business through management and financial accounting and economic analysis. However, the existing methods have their own drawbacks as they are not adapted to the unusual conditions in the economy.

In contrast to the current views in this regard, in our view, the possibilities of the cash method, a number of its advantages and its proper management of cash in small enterprises in pandemic (unusual) conditions, which are not used or given insufficient importance in accounting and analysis of the state and movement of funds in enterprises. The practical aspects required for this are shown in the form of a model.

The article presents a model of the internal reporting form of accounting, which forms both analytical and generalized data on the income and expenditure of cash. The model is a concise expression of the internal report, which is designed to accurately reflect the movement and status of cash in the enterprise in a pandemic, the total income and expenditure of individual accounts, activities and activities. The data in the model will be one of the foundations for making cash-related optimal decisions in small business management. As a result, the opportunities for accurate and uninterrupted management of small businesses will increase, despite the negative effects of the pandemic.