Importance Inadequacy and instability of the regulatory framework of bankruptcy in Russia, the lack of sufficiently objective, reasonable methods of diagnosis of bankruptcy do not allow, in a timely manner, identifying the trends in possible financial difficulties and take timely managerial decisions aimed at improving the financial condition and avoiding possible bankruptcy. The economic analysis in the diagnosis of a possible bankruptcy of the organization improves the quality, reliability and completeness of the information used for management decision-making. Objectives The paper aims to assess the applicability of domestic models for diagnosis of bankruptcy of commercial organizations. Methods The authors used certain domestic methods of bankruptcy diagnosis to evaluate the financial condition of organizations. Results The authorsare analyzing the feasibility of a ratio analysis method, its advantages and disadvantages. A study of the organization's data concludes on the validity of the use of methods of bankruptcy diagnosis. According to the results of the analysis, it can be concluded that the enterprise is not stable. It cannot be inferred that the enterprise is in the solvent state of crisis. To obtain reliable results for the output, it is necessary to conduct a further comprehensive review of the enterprise that would identify weaknesses in the enterprise's policy. Conclusions and Relevance The authors concluded that the ratio method should be applied in financial analysis At the same time it is necessary to use the system of both relative and absolute terms, calculated according to the statistics, accounting, records management, and other sources of information. That will allow a timely identification of possible bankruptcy trends.
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