Examining and validating a bankruptcy prediction models in Malaysia

Citation

Bakar, Suzaida and Ting, Irene Wei Kiong and Md Nassir, Annuar (2012) Examining and validating a bankruptcy prediction models in Malaysia. In: 2012 International Conference on Statistics in Science, Business and Engineering (ICSSBE 2012), 10-12 Sept. 2012, Langkawi, Kedah. .

Abstract

The purpose of this paper is to propose and validate the combined model for bankruptcy prediction for the Malaysian firms. This combined model is adopted from previous studies by combining Ohlson logit model, Springate-Canadian model and macroeconomic factors. The proposed combined model is developed by using the financial and macroeconomic constructs. The result indicates that logistic regression performs well and it is used to validate the model. Our results also show that, the capacity of the proposed model to predict correctly is 100% for both samples (distress and non-distress firms). Finally, the results of this study could also be applicable to business and investor's decision making contexts other than the bankruptcy prediction model.

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Additional Metadata

Item Type:	Conference or Workshop Item (Paper)
Divisions:	Faculty of Economics and Management
DOI Number:	https://doi.org/10.1109/ICSSBE.2012.6396560
Publisher:	IEEE
Keywords:	Bankruptcy prediction; Combined model; Logistic regression; Financial distress
Depositing User:	Nabilah Mustapa
Date Deposited:	04 Aug 2020 02:43
Last Modified:	04 Aug 2020 02:43
Altmetrics:	http://www.altmetric.com/details.php?domain=psasir.upm.edu.my&doi=10.1109/ICSSBE.2012.6396560
URI:	http://psasir.upm.edu.my/id/eprint/45202
Statistic Details:	View Download Statistic

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