Improvement of Methodological Approaches of Forensic Economic Examination to Confirm the Calculation of Lost Profits of Enterprises as a Result of the Armed Aggression of the Russian Federation: Analysis of Scientific Discussion and Prospects

Abstract

The article provides a comprehensive analysis of current methodological and legal approaches to determining lost profits as a component of economic losses of enterprises which suffered material damage as a result of the armed aggression of the Russian Federation against Ukraine. Particular attention is paid to the analysis of the key provisions of the Methodology for Determining Damage and the Amount of Losses No. 3904/1223, approved by the joint order of the Ministry of Economy of Ukraine and the State Property Fund of Ukraine dated 18.10.2022, which is currently the basic regulatory document for conducting forensic economic examination under martial law.

The author outlines the current scientific and practical discussions on the role of a forensic economist, his/her powers and qualification limits when calculating the lost profits due to the armed aggression of the Russian Federation.

The author examines the main stages of calculation of lost profits and the procedure for applying the compounding rate.

Given the current challenges, the article substantiates the prospects for improving methodological approaches to forensic economic examination of lost profits.

The results of the study can be used by forensic experts, appraisers, attorneys, economists, accountants, as well as by managers of enterprises initiating procedures for compensation of losses through the mechanisms of national or international law.