Authors: Nadezhda I. YASHINA Dr. Sc. (Econ.), Prof. of Finance and Credit Dept.

Yevgeniya A. KHANSUVAROVA Postgraduate of Finance and Credit Dept.

Konstantin S. YASHIN Postgraduate of Finance and Credit Dept.

Abstract: At the moment there are no expenditure management procedures covering all the aspects of statefinanced organizations’ activity. In the paper the widely known ABC and XYZ methods are considered. Regulating costs in order to form their optimal structure, as well as reducing them make it possible to cut prices for products (services). This, in turn, enables enterprises to maintain or even strengthen their positions in the market. The authors developed a new methodology for evaluation of expenditure funding to be applied in healthcare facilities using the case of state-funded hospital “Gorodetskaya TsRB” in Nizhegorodskaya oblast. The aim of ABC analysis is to bring down operating costs of healthcare facilities. Practical application of the ABC and XYZ combined analysis will improve the efficiency of expenditure management of public institutions. By using the new methodology managers will be able to discover key positions and reasons that influence the size and dynamics of spending, arrange expenditures in groups and establish the most urgent of them.

Keywords: FINANCIAL MANAGEMENT, ABC ANALYSIS, XYZ ANALYSIS, FINANCIAL RESOURCES, FINANCIAL EXPENSES