scholarly journals Bankruptcy risk assessment models as a tool for diagnosing the financial condition of capital market companies

2020 ◽  
Vol 110 (166) ◽  
pp. 31-76
Author(s):  
Paweł Kopczyński
Keyword(s):  
Discriminant Analysis ◽  
Economic Crisis ◽  
Listed Companies ◽  
The State ◽  
Multiple Discriminant Analysis ◽  
Financial Condition ◽  
Large Populations ◽  
State Of The Economy ◽  
Conducting Research ◽  
Analysis Models

Purpose: The main purpose of this article is to examine the usefulness of multiple discriminant analysis models in assessing the financial condition of individual enterprises, the state of the economy, and its sectors. The study assessed the financial situation of Polish listed companies at the end of the global economic crisis that started in 2007. Methodology/approach: Seven discriminant functions were used to assess the actual changes in the finan-cial situation of listed companies during the period of 2009–2014. In order to diagnose the end of the crisis, the period in which countries emerged from the global economic crisis was taken into account. The study covered 175 Polish companies listed on the regulated market operated by the Warsaw Stock Exchange, whose standalone financial statements were used. These companies belong to 22 sectors of the economy. It was assumed that the number of companies at risk of bankruptcy should have decreased during this period. Findings: The study showed that it is difficult to determine when the crisis ended and stopped affecting Polish listed companies. Their financial condition gradually improved during the period 2013–2014. Multiple discriminant analysis models are useful in assessing the risk of bankruptcy, but the study results show that it is safer to use several models simultaneously and to eliminate outliers. Research limitations/implications: The discriminant models used in the study are suitable for conducting research on large populations within enterprises and can be used by state and financial institutions (including banks) and authorities in Poland to facilitate the conduct of economic statistics, forecasting economic situation, etc. Originality/value: In Poland, many studies have been carried out on the usefulness of multiple discrimi-nant analysis models for the purposes of forecasting the bankruptcy of individual enterprises. However, there are few studies devoted to assessing the usefulness of the models in conducting research on large populations within enterprises (i.e., assessing the state of the economy and its sectors). This research helps to explore and fill this research gap.

scholarly journals Factors Contributing to Financially Distressed Companies in Malaysia

2009 ◽  
Author(s):  
Nur Adiana Hiau Abdullah ◽  
Rohani Md Rus ◽  
Abd. Halim @ Hamilton Ahmad
Keyword(s):  
Discriminant Analysis ◽  
Hazard Model ◽  
Listed Companies ◽  
Important Predictor ◽  
Income Growth ◽  
Hazard Models ◽  
Company Size ◽  
Net Income ◽  
Multiple Discriminant Analysis ◽  
Financially Distressed

By using a total of 52 distressed and non-distressed listed companies during the period 1990 to 2000, debt to total assets was found to be significant in predicting distressed companies for the multiple discriminant analysis (MDA), logit and hazard models. It appears that the higher the debt, the higher is the probability of defaulting among the financially distressed companies. MDA identified net income growth as another predictor whereas the logit and hazard model found that return on asset (ROA) to be an important predictor. Nevertheless, the sign of the ROA coefficient differred between the two models. Furthermore, company size was also identified as a contributing factor to financially distressed companies for the hazard model.   

scholarly journals ANALISIS POTENSI KESULITAN KEUANGAN PERUSAHAAN MANUFAKTUR MAKANAN DAN MINUMAN DI BURSA EFEK JAKARTA

2008 ◽  
Vol 4 (4) ◽  
Author(s):  
I Made Surya Nurraja
Keyword(s):  
Discriminant Analysis ◽  
Early Warning ◽  
Financial Distress ◽  
Early Warning System ◽  
Significant Contribution ◽  
Warning System ◽  
Preventive Action ◽  
Multiple Discriminant Analysis ◽  
Return On Equity ◽  
Financial Condition

Many companies registred at the Bursa Efek Jakarta technically can’t be maintained anymore. This fact needs to be known earlier by who has concern for it. Therefore, the study produce a model for preventive action as an early warning system which expect can be used together in order to anticipate the financial condition of the companies are getting worse and finally become bankrupt.Using eleven financial rations and Multiple Discriminant Analysis, this study found that there are six financial rations have different between companies have significant contribution (Total Liabilities to Total Assets and Return on Equity)Keywords : Financial rations, Financial distress, Multiple Discriminant Analysis.

scholarly journals Liquidity of Non-financial Corporations: Evidence from Bulgaria

2021 ◽  
Vol 27 (3) ◽  
pp. 389-406
Keyword(s):  
Economic Crisis ◽  
The State ◽  
Economic Situation ◽  
Negative Effects ◽  
Corporate Liquidity ◽  
Financial Condition ◽  
The World ◽  
Financial Consequences ◽  
Liquidity Crises ◽  
Early Indicators

The financial and economic crisis years ago put the development of enterprises in Bulgaria and around the world in an uncontrollable environment that is difficult to predict, and led to significant problems with their financial condition. As a result of a rare CoVid-19 pandemic in 2020, the economic situation has become more complicated and portends déjà vu in terms of negative effects on the economy and businesses. The numerous closures of businesses and entire sectors will undoubtedly lead to serious financial consequences related to liquidity problems and excessive indebtedness of Bulgarian enterprises. The main problem that provokes this study is the lack of summarized information on the state of corporate liquidity and the solvency levels of non-financial corporations in Bulgaria. The main purpose of the article is to examine the liquidity status of non-financial corporations in Bulgaria. This analysis is needed to prevent liquidity crises and to bring out early indicators to warn and counter the risks posed by deteriorating solvency. It will be essential for the liquidity assessment to derive average industry values of the indicators to guide the companies from the sectors regarding the recommended liquidity levels to which they should strive.

scholarly journals Economy or austerity? Drivers of retrospective voting before and during the Great Recession

2020 ◽  
pp. 019251212091913
Author(s):  
Marco Giuliani
Keyword(s):  
Economic Crisis ◽  
Great Recession ◽  
The State ◽  
Economic Conditions ◽  
The Great Recession ◽  
Retrospective Voting ◽  
Poor State ◽  
The Poor ◽  
State Of The Economy

During the Great Recession, exceptionally harsh economic conditions were often countered by austerity policies that, according to many, further worsened and protracted the negative conjuncture. Both elements, the poor state of the economy and the contractionary manoeuvers, are supposed to reduce the electoral prospects for incumbents. In this article, we compare the relative explanatory powers of these two theories before and during the economic crisis. We demonstrate that in normal times citizens are fiscally responsible, whereas during the Great Recession, and under certain conditions, austerity policies systematically reduced the support for incumbents on top of the state of the economy. This happened when the burdens of the manoeuvers were shared by many, in more equal societies, when the country was constrained by external conditionalities and when readjustments were mostly based on tax increases.

Comparison of Examinees’ and Doctors’ Judgement of Health Status Using Data in an AMHTS

1984 ◽  
Vol 23 (01) ◽  
pp. 15-22
Author(s):  
Y. Sekita ◽  
T. Ohta ◽  
M. Inoue ◽  
H. Takeda
Keyword(s):  
Health Status ◽  
Discriminant Analysis ◽  
Explanatory Power ◽  
Laboratory Data ◽  
Subjective Symptom ◽  
Health Conditions ◽  
Testing System ◽  
Multiple Discriminant Analysis ◽  
Canonical Axis ◽  
Using Data

SummaryJudgements of examinees’ health status by doctors and by the examinees themselves are compared applying multiple discriminant analysis. The doctors’ judgements of the examinees’ health status are studied comparatively using laboratory data and the examinees’ subjective symptom data.This data was obtained in an Automated Multiphasic Health Testing System. We discuss the health conditions which are significant for the judgement of doctors about the examinees. The results show that the explanatory power, when using subjective symptom data, is fair in the case of the doctors’ judgement. We found common variables, such as nervousness, lack of perseverance etc., which form the first canonical axis.

FISCAL ROLE OF EXCISE TAX ON EXCISE GOODS MANUFACTURED IN UKRAINE IN CONDITIONS OF CONSTANT CHANGES IN TAX LEGISLATION AND PANDEMIC COVID-19

2017 ◽  
Author(s):  
Natalia Rudenko ◽  
◽  
Tatiana Tuchak ◽  
Keyword(s):  
European Integration ◽  
Economic Crisis ◽  
The State ◽  
Excise Tax ◽  
Tax Revenues ◽  
Tax Legislation ◽  
Economic Stagnation ◽  
Legislative Framework ◽  
Main Factors

The article analyzes the fiscal role of the excise tax on excisable goods (products) produced in Ukraine in the context of permanent changes in the tax legislative framework and within the framework of the global crisis through the coronavirus disease COVID-19. The concept of excise tax has been substantiated, a list of excisable products (goods) has been provided in accordance with legislative acts, the payers of this tax have been specified. The most important events and transactions that influenced the amount of tax revenues from excise tax are investigated. The authors believe that the main reason for the changes in the administration process and the receipt of the excise tax are the European integration transformations and the conditions of the global socio-economic crisis. Based on the difficult economic situation in the state, some legislative acts regulating the collection of excise tax from excisable products produced in the country were considered. It was revealed that a moratorium on the payment of excise tax was imposed on the territory of the studied state for a certain period. This event made its own adjustments to the proceeds from the payment of excise tax on excisable products (goods) produced domestically, and also allowed domestic producers to move from the place of economic stagnation. In Ukraine, they began to actively manufacture and sell antiseptic and disinfectants of their own production to protect citizens. According to the data of the State Treasury Service of Ukraine, the authors analyzed the indicators of tax revenues for each type of excisable products (goods) of domestic production. It was revealed from which products more tax was received during the study period. The main factors that influenced the receipts of excise tax from excisable goods produced on the territory of Ukraine in the period of 2019, as well as for 9 months of 2020, have been determined.

Bulgaria’s Economy 1989–2019

2020 ◽  
Vol 44 (2) ◽  
pp. 260-282
Author(s):  
Georgy Ganev
Keyword(s):  
Economic Theory ◽  
The State ◽  
Institutional Changes ◽  
Institutional Economic ◽  
State Of The Economy ◽  
Degree Of Convergence

Based on an analytical narrative, and utilizing macroeconomic and new institutional economic theory, this exposition studies the Bulgarian economy during the decades after 1989. The three decades are placed in the context of the century-and-a-half-long Bulgarian development and convergence dynamic. They are then presented in terms of clearly defined sub-periods, and each sub-period is analyzed in detail. The analysis for each period focuses on three sets of issues: macroeconomic developments, microeconomic developments, and institutional changes. The exposition ends by applying the insights from the analysis to the question of whether the state of the economy in Bulgaria as of 2019 gives grounds for pessimism (Bulgaria will continue the cycles of unsuccessful convergence) or for optimism (Bulgaria will achieve an unprecedented degree of convergence in the coming decades). The answer is that at present both expectations can be supported by sets of serious arguments.

ANALYSIS OF THE STATE AND DEVELOPMENT OF THE MAIN INDICATORS OF THE AGRICULTURAL SECTOR OF THE ECONOMY OF THE TOKTOGUL REGION OF KYRGYZSTAN

2020 ◽  
Vol 2 (11) ◽  
pp. 71-73
Author(s):  
M. U. USUPOV ◽  
Keyword(s):  
Financial Institutions ◽  
Agricultural Sector ◽  
The State ◽  
Market Demand ◽  
Agricultural Producers ◽  
Money Markets ◽  
Agricultural Enterprises ◽  
State Of The Economy ◽  
The Subject ◽  
Production Losses

The article is devoted to the state of the economy of the subject of the agricultural sector – the Toktogul region of Kyrgyzstan, as well as the formation of a land division, which is impossible without an influx of investments and ensuring the availability of monetary resources for agricultural producers. In our time, innovation is becoming the main means of increasing the benefits of economic entities by better meeting market demand and reducing production losses compared to competitors. Despite repeated attempts by the country to create a system of lending to agricultural companies, only a small percentage of them use credit resources. Various state aid schemes support a competitive environment in the money markets and guarantee relatively equal access to them for financial institutions and agricultural enterprises.

STRUCTURAL AND LOGIC DIAGRAM OF RESEARCH ON THE MILITARY-ECONOMIC SUBSTANTIATION OF THE RATIONAL NUMBER OF ARMED FORCES OF UKRAINE IN THE PROCESS OF FORMING THE PROGRAM OF THEIR DEVELOPMENT

2019 ◽  
Vol 2 (12) ◽  
pp. 102-110
Author(s):  
V. Nazarkin ◽  
O. Semenenko ◽  
A. Efimenko ◽  
V. Ivanov
Keyword(s):  
Rational Number ◽  
Armed Forces ◽  
The State ◽  
Limiting Factors ◽  
Development Programs ◽  
Power Structures ◽  
Scientific Substantiation ◽  
Conducting Research ◽  
Excess Number ◽  
The Military

The task of choosing the rational number of power structures is always one of the main priorities of any political leadership of the state. An insufficient number of armed forces is a threat to the national security of the state; an excess number creates pressures on the development of the country's national economy. Today, when the development programs of the Armed Forces of Ukraine are being formed in the context of the practical application of their units and subunits to carry out combat missions, questions of choosing a priority approach to the formation (justification) of the rational size of the Armed Forces of Ukraine is an urgent issue. The article proposes a structure for conducting research on the development and implementation of the methodology of military-economic substantiation of the rational strength of the Armed Forces of Ukraine in the system of defense planning of Ukraine in the formation of programs for their development for the medium and long term. The main objectives of this methodology are: scientific substantiation of the range of the necessary strength of the Armed Forces of Ukraine for the period of the program of their development; the choice of the indicator of the rational size of the Armed Forces of Ukraine according to the years of the program from a certain range of its changes; military-economic substantiation of this number under the influence of various limiting factors. The development and implementation of such a methodology will increase the efficiency of the formation and implementation of development programs of the Armed Forces of Ukraine, as well as the efficiency of using public funds for the development of power structures.

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