Accounting and Analysis of Bank Lending to Commercial Organizations

Commercial organizations are the most dynamically developing business segment, since the main goal of its activity is to make a profit, as well as optimize its business process. However, commercial organizations require a tremendous amount of funds for successful operation, so they often turn to banks for loans. The study of lending to commercial organizations is of great scientific interest, because banks have a strong incentive to lend to commercial organizations due to the fact that loans to this type of client are the main and largest source of income for banks from which they form their capital. Moreover, the functioning of commercial organizations is a prerequisite for the development of the national economy. Further, if we consider the lending process on the part of the bank, then after approving the issue of a loan, it needs to evaluate how profitably it has made its investments in a particular subject of the commercial sector. For these purposes, banks regularly analyze the profitability of their credit policy, the result of which is the expression of professional opinion about its condition. Thus, the aim of the work is to increase the bank's profit in the field of credit services to commercial organizations. Analysis of the credit process as a whole, accounting of credit operations, as well as identifying ways to optimize credit policy. The study includes an analysis of the creditworthiness of some enterprises, accounting for the issuance, repayment of loans, as well as interest on them, and accounting for the recovery of past due debts, as well as the accrual and payment of interest on it. Also in the work, an analysis of the profitability of the bank's lending activity was carried out and recommendations were made to increase the level of profitability of the bank's credit activity.