DEFINITION OF THE TERMS «FINANCIAL RESOURCES» AND «CASH»

Abstract

The obtained results of theoretical research become the basis of the practical activities of enterprises and are the basis for the development of programs, projects, corporate and functional strategies of the enterprise. Therefore, a theoretical study of clarifying the essence of the concepts "financial resources" and "cash" is relevant from the point of view of optimizing management processes in financial management and establishing effective internal and external communications with the correct use of these concepts. The purpose of this scientific article is to study the essence of the definitions "financial resources" and "cash" and clarify their common and distinctive characteristics. The article discusses the concept of "resources" and their characteristics. Different approaches of scientists to the interpretation of financial resources, their features and differences are studied. The obtained results are systematized in a table highlighting the key meaning, which became: cash funds, cash resources, highly liquid assets, own and loan funds, target direction and sources of income (internal and external). The role of money in the financial and economic activity of the enterprise is determined. Cash is constantly deposited in bank accounts or cash registers in the form of proceeds from sales or income and is withdrawn when payments are made. Domestic scientists define cash as the receipt and outflow of monetary units of the enterprise and their equivalents, generated as a result of its economic activity, the movement of which is related to the factor of time, risk and liquidity. It has been proven that equating financial resources with money significantly narrows the concept of "financial resources", because they include not only available, but also potential funds. We consider it expedient to interpret "financial resources" as a set of cash and their equivalents, formed in the process of economic activity and received from the outside intended for the fulfillment of financial obligations and financing processes of the reproduction of the enterprise. It is established that cash is not the same as financial resources, but is only a part of them and is the most liquid asset of the enterprise, including cash in hand, funds on bank accounts in banks, deposits and electronic money. The given definition of financial resources of the enterprise reveals the main internal content of financial resources, according to which it becomes possible to identify the mechanism of the influence of finance on the reproductive process, which is a prospect for further scientific research.