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Aggregated Index for Modelling the Influence of Financial Variables on Enterprise Performance

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  • Nicoleta Barbuta-Misu

    (Dunarea de Jos University, Faculty of Economic Sciences, Galati, Romania)

Abstract

The aim of the paper is developing a financial performance aggregate index for modelling the relationship between some financial indicators and enterprise financial performance. The model was developed for enterprises acting in the building sector from Galati County – Romania, the source being bankruptcy risk models. To choose model variables was used discriminate analysis on 22 variables proposed that separate objectively performant by non-performant enterprises. The proposed model with five variables was tested using the initial sample of enterprises obtaining an average success ratio of 81.82%. Designing and development a model for evaluation financial performance is important and useful for ranking enterprises at national level.

Suggested Citation

  • Nicoleta Barbuta-Misu, 2012. "Aggregated Index for Modelling the Influence of Financial Variables on Enterprise Performance," EuroEconomica, Danubius University of Galati, issue 2(31), pages 155-165, May.
    • Handle: RePEc:dug:journl:y:2012:i:2:p:155-165
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    File URL: http://journals.univ-danubius.ro/index.php/euroeconomica/article/view/1370/1156
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    References listed on IDEAS

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    Cited by:

    1. Błażej Prusak, 2018. "Review of Research into Enterprise Bankruptcy Prediction in Selected Central and Eastern European Countries," IJFS, MDPI, vol. 6(3), pages 1-28, June.
    2. Gratiela Dana Boca & Lindita Mukaj, 2013. "Global Trends In Entrepreneurship Using 4 R'S Model," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 1414-1423, July.

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