A MODEL FOR EVALUATING THE BANKRUPTCY RISK OF THE ROMANIAN COMPANIES

Daniel Circiumaru (danielcirciumaru@gmail.com)

Revista Tinerilor Economisti (The Young Economists Journal), 2010, vol. 1, issue 14, 35-40

Abstract: The paper presents a score function elaborated in order to evaluate the bankruptcy risk of the Romanian industrial companies. For this purpose, I have used a 152 industrial companies sample, listed on Rasdaq, divided into 83 non-bankrupt companies and 69 bankrupt. The data comprised a 4 year retrospective period, between 1999 and 2002. The score function, elaborated using the discriminant analysis, has six ratios and has accuracy in predicting the failure of 89.29%, which is considered to be quite high, very closed to the similar models from the specialized literature.

Keywords: score function; bankruptcy risk; financial ratios; discriminant analysis (search for similar items in EconPapers)
JEL-codes: G34 G39 (search for similar items in EconPapers)
Date: 2010
References: Add references at CitEc
Citations:

Downloads: (external link)
http://feaa.ucv.ro/RTE/014-5.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aio:rteyej:v:1:y:2010:i:14:p:35-40

Access Statistics for this article

Revista Tinerilor Economisti (The Young Economists Journal) is currently edited by Ionascu Costel

More articles in Revista Tinerilor Economisti (The Young Economists Journal) from University of Craiova, Faculty of Economics and Business Administration Contact information at EDIRC.
Bibliographic data for series maintained by Ionascu Costel (icostelm@yahoo.com).