APPLICATION OF THE FUZZY LOGIC METHOD IN ASSESSING THE STABILITY AND CHANGE OF THE COMPANY

Abstract

Business entities operate in a constantly changing environment. The activities of companies are negatively affected by the insufficient level of their financial stability, which is the basis for normal activity and increasing economic potential. Taking this into account, the priority of studying the company's financial condition by fully substantiating the indicators that determine it increases, therefore it is relevant to improve the system of such indicators. Therefore, the assessment of the financial stability of companies, as a significant sector of the economy of any country, and the improvement of existing methodological approaches to it are relevant and important. Determining the limits of financial stability is one of the most sensitive problems in managing the financial condition in general and financial stability in particular, it is especially important in times of economic instability, because it is important for the company to determine the potential of financial stability. It should be noted that mostly in the literature and works of other researchers, only financial stability is assessed, but it is not assessed how financial stability can change due to changes, therefore this paper studies the application of the fuzzy logic model in assessing the company's financial stability and its change. Fuzzy logic method is a valuable financial tool that allows you to present and manage uncertain and imprecise information that prevails in making financial decisions. Fuzzy logic is a valuable tool in finance to represent and manage the uncertain and imprecise information that dominates financial decision-making. The purpose of fuzzy logic is to express the uncertainty and inaccuracy of human thinking by appropriate mathematical means. MATLAB™ software with uncertainty logic tools allows you to build models that can assess financial stability by considering various variables and their interactions. This enables proper evaluation and analysis of financial data, which is often inaccurate or incomplete.