Article1983

AN EXPLORATION INTO BANKRUPTCY DISCRIMINANT MODEL SENSITIVITY

Frederick M. Richardson · Lewis F. Davidson

37 citations0/0 files storedJournal of Business Finance &amp Accounting

No readable copy stored yet — this record is metadata only.

No open-access location is known for this record yet.

Literature note Cite in a project Citation map

Financial Distress and Bankruptcy Prediction Corporate Insolvency and Governance Forecasting Techniques and Applications

Abstract

Prediction has been a central theme in much of the accounting research and theory construction and verification over the past decade. Largely ignored in such studies has been consideration of the statistical properties of accounting measures, particularly as related to the effects of those properties on the signals from prediction models that use accounting measures as inputs. This study was designed to provide preliminary insight into the magnitude of the effects of this omission, and a bankruptcy prediction model was selected to facilitate the analysis. Results indicate that the linear discriminant model (as applied to prediction of failure) is sensitive to departures of inputdata distributions from multivariate normal.

Paper brief

Loading…

Cite this work

Citation unavailable for this work.

BibTeX RIS CSL-JSON

No public copy is stored for this record, so only the metadata is cited.

Citations in this library

Citation map →

Stored only when both papers are in the corpus — 37 citations exist upstream.

References

1968FINANCIAL RATIOS, DISCRIMINANT ANALYSIS AND THE PREDICTION OF CORPORATE BANKRUPTCY 1980Ratio Stability and Corporate Failure 1976Distributions of Financial Accounting Ratios: Some Empirical Evidence.

Cited by

2010Turnaround prediction of distressed companies: evidence from Malaysia 2005The Impact of Managerial Ownership on the Likelihood of Provision of High Quality Auditing Services 1989An examination of misclassifications with bank failure prediction models 1991Probit Prediction of Going and Non‐going Concerns

Explore the map →

Papers that cite the same references — the relational fallback while embeddings are still backfilling.

Imported from OpenAlex (CC0) — nothing here is generated.