Despite their widespread usage, models of accrual based methods in detecting false financial statements have been subject to significant criticism. An alternative to the accruals approach is to use binary probit and logit models and some other multivariate statistical techniques where they...

This paper focuses on the development of both failure prediction models on a paired sample and a random sample of small and medium-sized firms with head offices located in the region of Castilla y León (Spain), in order to prove if the predictive power of the developed models is affected by the...

This paper evaluates the importance of building a composite metric of financial soundness for the private corporate sector in Colombia. Instead of relying on the individual and sometimes restrictive financial ratio analysis approach, the purpose of this document is to provide a single metric...

This paper uses the classification of accounting systems as a guide to explore the impact of new International Financial Reporting Standards (IFRS) reporting rules on corporate financial statements and financial ratios in comparison to their local counterparts in selected European countries. In...

This paper aims to clarify the influence of changing both the sample size and selection of financial ratios in bankruptcy models accuracy of companies listed in the industrial sector of Jordan. The study sample is divided into three sub-samples counting 6, 10 and 14 companies respectively; each...

This paper is devoted to the issue of forecasting financial ratios. The objective of the conducted research is to develop a predictive model with the use of an innovative methodology, i.e., fuzzy logic theory, and to evaluate its effectiveness. Fuzzy logic has been widely used in machinery,...

Due to the development of financial markets, products, financial and mathematical models, portfolio selection today represents a comprehensive set of activities. Investors take into consideration many different factors, such as the market factors, return distribution characteristics and...

The recent financial crisis that began in 2007, also known as the Global Financial Crisis, had a huge influence on the financial situations of enterprises and financial institutions around the world. The situation on world stock markets was also strongly affected by the crisis. As the behavior...