Objective: Nowadays, financial distress prediction is one of the most important research issues in the field of risk management that has always been interesting to banks, companies, corporations, managers and investors. The main objective of this study is to develop a high performance predictive model and to compare the results with other commonly used models in financial distress prediction M...

The early awareness of a potential financial distress is crucial to firm’s managers for understanding their clients, suppliers and their own firms, and crucial to fund suppliers for assessing the construction firm’s credit worthiness. The purpose of this paper is to develop a dynamic prediction model for financial distress in construction industry using Data Mining. This research expects to pro...

Lately, stock and derivative securities markets continuously and rapidly evolve in the world. As quick market developments, enterprise operating status will be disclosed periodically on financial statement. Unfortunately, if executives of firms intentionally dress financial statements up, it will not be observed any financial distress possibility in the short or long run. Recently, there were o...

Using a new nationally representative survey of financial capability and experience in the UK and Ireland, I investigate the key factors that cause individuals to experience financial distress. In this context, a key area that I focus on is whether individuals’ behavioural traits, such as their capacities for self-control, planning, and patience, affect their ability to stay out of financial tr...

The economic consequence of corporate failure is enormous, especially for the stakeholders of public-held companies. Prior to a corporate failure, the firm’s financial status is frequently in distress. Consequently, finding a method to identify corporate financial distress as early as possible is clearly a matter of considerable interest to investors, creditors, auditors and other stakeholders....

Practitioners and academics usually discount expected future costs of financial distress using a government bond yield, and sometimes using the firm’s own cost of debt. We argue that this practice is wrong and that it underestimates the true present value of distress costs, because distress is more likely to happen when other assets perform poorly. Thus, the costs of financial distress must be ...

Most prior studies assume a positive relation between debt and earnings management, consistent with the financial distress theory. However, the empirical evidence for financial distress theory is mixed. Another stream of studies argues that lenders of short-term debt play a monitoring role over management, especially when the firm’s creditworthiness is not in doubt. To explore the implications ...

BACKGROUND Cancer and its treatment lead to increased financial distress for patients. To the authors' knowledge, to date, no standardized patient-reported outcome measure has been validated to assess this distress. METHODS Patients with AJCC Stage IV solid tumors receiving chemotherapy for at least 2 months were recruited. Financial toxicity was measured by the COmprehensive Score for financ...

a r t i c l e i n f o Previous literature finds that situations that put managers under significant levels of pressure (e.g. IPO, upcoming credit rating changes, violation of debt covenant, etc.) might affect the way earnings are manipulated. The aim of this study is to investigate whether the pressure caused by the non-temporary level of financial distress, conditions the choice between real a...