In the modern environment, the company constantly faces various types of risks in its business activities. Therefore, the problem of identifying and measuring risks is extremely relevant. The article proposes a scheme for managing financial risks, which includes identifying risk factors, determining the permissible risk level, analyzing individual transactions, developing risk mitigation measures. The article proposes to create the following funds, reserves and collateral: a bad debts reserve, provision for warranty service of clients, provision for social orientation, provision for restructuring, provision for burdensome contracts, fiscal (tax) reserves, commercial, industrial, informational risk reserves, future costs and payments reserve, legal provisions, provisions for impairment of assets, reserve fund. Risks should be taken only if the level of return on risky operations exceeds the level of risk. The issue of the choice of certain reserves, funds and provisions is regulated by the accounting policy of the enterprise, where their types and the order of their creation should be clearly defined. Such measures allow planning contingency expenses and informing users of financial statements of future risk events.
Earnings Management through Tax Reserves and Auditor-Provided Tax Services