legal reserve fund
简明释义
法定基金
英英释义
A legal reserve fund is a portion of a company's profits that is set aside as required by law to cover potential liabilities or losses. | 法定准备金是公司根据法律要求从利润中提取的一部分,用于覆盖潜在的负债或损失。 |
例句
1.During an audit, it was found that the legal reserve fund 法定储备基金 had not been properly maintained over the years.
在审计过程中发现,法定储备基金 legal reserve fund多年来未得到妥善维护。
2.The board decided to increase the legal reserve fund 法定储备基金 to enhance the company's financial security.
董事会决定增加法定储备基金 legal reserve fund以增强公司的财务安全性。
3.Investors often look for companies that maintain a healthy legal reserve fund 法定储备基金 as a sign of good management.
投资者通常寻找保持健康的法定储备基金 legal reserve fund的公司,作为良好管理的标志。
4.The company is required to allocate a portion of its profits to the legal reserve fund 法定储备基金 to ensure financial stability.
公司需要将一部分利润分配到法定储备基金 legal reserve fund以确保财务稳定。
5.According to the regulations, the legal reserve fund 法定储备基金 must be at least 10% of the company's net profits.
根据规定,法定储备基金 legal reserve fund必须至少占公司净利润的10%。
作文
In the world of finance and business, understanding various terms is crucial for effective management and decision-making. One such term that often comes up in discussions about corporate finance is the legal reserve fund, which is a mandatory allocation of profits that companies must set aside to ensure financial stability and protect creditors. This fund serves as a safety net, providing assurance that a company can meet its obligations even in times of financial distress.The concept of the legal reserve fund is particularly important in jurisdictions where laws require businesses to maintain a certain level of reserves. For example, in many countries, corporations are required to allocate a percentage of their profits to this fund before distributing dividends to shareholders. This legal requirement not only protects investors but also enhances the company's credibility in the eyes of creditors and stakeholders.The purpose of establishing a legal reserve fund goes beyond mere compliance with regulations. It acts as a buffer against unexpected losses, ensuring that companies can continue their operations during downturns or economic crises. By having a sufficient reserve, businesses can avoid bankruptcy and maintain their reputation in the market. Moreover, a well-managed reserve fund can also provide opportunities for reinvestment, allowing companies to grow and expand their operations without relying heavily on external financing.Furthermore, the legal reserve fund plays a significant role in promoting financial discipline within organizations. By mandating a portion of profits to be reserved, companies are encouraged to adopt prudent financial practices. This discipline can lead to better budgeting, forecasting, and overall financial management, ultimately contributing to the long-term sustainability of the business.However, the implications of the legal reserve fund extend beyond individual companies. From a macroeconomic perspective, widespread adherence to reserve requirements can contribute to overall financial stability in the economy. When businesses maintain adequate reserves, they are less likely to default on their obligations, which in turn reduces systemic risk in the financial system. This stability is crucial for fostering investor confidence and encouraging economic growth.In conclusion, the legal reserve fund is an essential component of corporate finance that serves multiple purposes. It protects creditors, ensures financial stability, promotes discipline, and contributes to the overall health of the economy. Understanding the significance of this fund can help business leaders make informed decisions that benefit their organizations and the broader financial landscape. As such, it is vital for anyone involved in finance, whether as an investor, manager, or policymaker, to grasp the importance of the legal reserve fund and its implications for sustainable business practices and economic resilience.
在金融和商业的世界中,理解各种术语对于有效管理和决策至关重要。在有关公司财务的讨论中,一个经常出现的术语是法定准备金基金,这是一种强制性的利润分配,企业必须将其留存以确保财务稳定并保护债权人。该基金充当安全网,确保公司在财务困境时期能够履行其义务。法定准备金基金的概念在法律要求企业维持一定水平准备金的管辖区尤为重要。例如,在许多国家,公司被要求在向股东分配股息之前,将一定比例的利润分配到该基金中。这一法律要求不仅保护投资者,还增强了公司在债权人和利益相关者眼中的信誉。建立法定准备金基金的目的不仅仅是为了遵守法规。它充当意外损失的缓冲,确保公司在经济衰退或危机期间能够继续运营。通过拥有足够的准备金,企业可以避免破产,并维护其在市场上的声誉。此外,良好管理的准备金基金还可以为再投资提供机会,使公司能够在不依赖外部融资的情况下增长和扩展其业务。此外,法定准备金基金在促进组织内部的财务纪律方面也发挥着重要作用。通过强制规定一定比例的利润用于储备,企业被鼓励采取谨慎的财务实践。这种纪律可以导致更好的预算、预测和整体财务管理,最终有助于企业的长期可持续发展。然而,法定准备金基金的影响超越了个别公司。从宏观经济的角度来看,广泛遵循准备金要求可以促进经济的整体金融稳定。当企业维持足够的准备金时,它们不太可能违约,这反过来又减少了金融系统的系统性风险。这种稳定性对于促进投资者信心和鼓励经济增长至关重要。总之,法定准备金基金是公司财务的重要组成部分,具有多重目的。它保护债权人,确保财务稳定,促进纪律,并有助于经济的整体健康。理解该基金的重要性可以帮助商业领导者做出有利于其组织和更广泛金融环境的明智决策。因此,对于任何参与金融的人,无论是投资者、管理者还是政策制定者,掌握法定准备金基金及其对可持续商业实践和经济韧性的影响至关重要。
相关单词