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Predicting Corporate Failure: Empirical Evidence for the UK

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Author Info
Neophytou, E.
Charitou, A.
Charalambous, C.
Abstract

The main purpose of this paper is the development and validation of a failure classification model for UK public industrial companies using current techniques: logit analysis and Neural Networks. Our dataset consists of 51 matched-pairs of failed and nonfailed UK public industrial firms over the period 1988-1997. Prediction models are developed for up to three years prior to the failure event.

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Publisher Info
Paper provided by University of Southampton - Department of Accounting and Management Science in its series Papers with number 01-173.

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Length: 29 pages
Date of creation: 2001
Date of revision:
Handle: RePEc:fth:sotoam:01-173

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Postal: University of Southampton, Department of Accounting & Mangement Science, Southampton S09 5NH UK.
Phone: 44 0173 592537/592555
Fax: 44 0173 593858
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Web page: http://www.soton.ac.uk/~econweb/
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Related research
Keywords: INDUSTRIAL SECTOR ; CASH FLOW ; PROFIT;

Find related papers by JEL classification:
H49 - Public Economics - - Publicly Provided Goods - - - Other
D21 - Microeconomics - - Production and Organizations - - - Firm Behavior

Cited by:
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  1. S. Balcaen & H. Ooghe, 2004. "Alternative methodologies in studies on business failure: do they produce better results than the classical statistical methods?," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 04/249, Ghent University, Faculty of Economics and Business Administration. [Downloadable!]
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This page was last updated on 2009-11-13.


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