Research On Financial Risk Management Of Xinwufeng Based On Entropy Weight-TOPSIS Method

Animal husbandry is an important pillar of the national economy.It can not only satisfy people’s demand for meat,but also promote the development of rural economy and provide a large number of jobs for idle people in rural areas.The state attaches great importance to the development of animal husbandry and provides a large number of preferential policies to make it develop and grow better.To this end,the financial risk assessment of Xinwufeng is conducted to find and solve problems in a timely manner and provide cases for other listed animal husbandry companies,so that the enterprises can better grasp the relevant policies issued by the state for the animal husbandry industry,which is conducive to the development of enterprises.In this paper,the entropy-topsis method is used to take the financial data of New Wufeng from 2016 to 2020 as the research sample,and the main risks affecting the financial risks of New Wufeng are empirically studied,and specific solutions are proposed on the basis of the research results.First to introduce the research background,purpose and significance,analysis of research status at home and abroad,and the financial risk,and introduces the related concepts of entropy TOPSIS method,points out that the entropy and TOPSIS method to use the principle of entropy to empowerment of indicators,to avoid the expert scoring subjectivity in traditional financial risk evaluation method,and the workload of evaluation,It has the advantage of being objective and accurate.On this basis,the financial analysis and evaluation model of the case enterprise is established by using entropy weight-TOPSIS method.Secondly,identify the financial situation of New Wufeng and the financial risks of the enterprise from the aspects of financing,investment,operation and growth,use the entropy-topsis method to calculate the financial risk ranking of New Wufeng from2016 to 2020,and calculate the proportion of each financial index contained in the above four aspects respectively according to the entropy-topsis method.According to the ranking of risks,the financial risks that have greater impact on the financial risks of New Wufeng are investment risk and growth risk,while the financing risk and operation risk have less impact on the financial risks.Finally,it is concluded that the main reasons affecting the financial risks of Xinwufeng are as follows: Funding risk of insolvency risk,investment risk to the corporate investment is more debt and creditor’s rights investment risk in instability risk,cost control is not strict,operational risk in credit evaluation is not strictly accounts receivable back not in time,deal with sudden outbreak in the growing risk of ability insufficiency,the asset utilization rate is not high,sales channels blocked,and its management structure is weak.And put forward reasonable countermeasures,specific for funding risk borrowing rationalization measures are put forward,to the investment risk and improve the capital investment and risk management,strengthen cost control measures,such as perfecting the system of credit evaluation measures are put forward in view of the operating risk,risk for growth improve disease control measures are put forward and improve the measures such as asset management to broaden sales channels.