Publication result detail

Financial Ratios as Bankruptcy Predictors: The Czech Republic Case

KARAS, M.; REŽŇÁKOVÁ, M.

Original Title

Financial Ratios as Bankruptcy Predictors: The Czech Republic Case

English Title

Financial Ratios as Bankruptcy Predictors: The Czech Republic Case

Type

Paper in proceedings (conference paper)

Original Abstract

The traditional bankruptcy models and their predictors cannot be used to predict bankruptcy in the Czech Republic as they have been intended for different business environments reflecting their specific features. The paper aims to find bankruptcy predictors specific for the Czech companies. An analysis of 44 financial ratios published in bankruptcy model studies from 1966 to 2010 discovered that, in the domestic conditions, only three of them can be used to predict bankruptcy one year ahead with a precision of 81.25%.

English abstract

The traditional bankruptcy models and their predictors cannot be used to predict bankruptcy in the Czech Republic as they have been intended for different business environments reflecting their specific features. The paper aims to find bankruptcy predictors specific for the Czech companies. An analysis of 44 financial ratios published in bankruptcy model studies from 1966 to 2010 discovered that, in the domestic conditions, only three of them can be used to predict bankruptcy one year ahead with a precision of 81.25%.

Keywords

financial ratios, bankruptcy prediction, discriminant analysis

Key words in English

financial ratios, bankruptcy prediction, discriminant analysis

Authors

KARAS, M.; REŽŇÁKOVÁ, M.

RIV year

2013

Released

20.09.2012

Publisher

WSEAS Press

ISBN

978-1-61804-124-1

Book

Advances in Finance & Accounting: Proceeding of the 1st WSEAS International Conference on Finance, Accounting and Auditing (FAA 12)

Pages from

86

Pages to

91

Pages count

6

Full text in the Digital Library

http://hdl.handle.net/

BibTex

@inproceedings{BUT94179,
  author="Michal {Karas} and Mária {Režňáková}",
  title="Financial Ratios as Bankruptcy Predictors: The Czech Republic Case",
  booktitle="Advances in Finance & Accounting: Proceeding of the 1st WSEAS International Conference on Finance, Accounting and Auditing (FAA 12)",
  year="2012",
  number="1",
  pages="86--91",
  publisher="WSEAS Press",
  isbn="978-1-61804-124-1"
}