A lot of methods have been used in the past for the prediction of failure business like Discriminant analysis, Logit analysis, Quadratic Function etc. Although some of these methods lead to models with a satisfactory ability to discriminate between healthy and bankrupt, they endure some limitations, often due to the unrealistic assumption of statistical hypotheses. This is why we have undertake...

Linear Discrimination Analysis (LDA) is a linear solution for classification of two classes. In this paper, we propose a variant LDA method for multi-class problem which redefines the between class and within class scatter matrices by incorporating a weight function into each of them. The aim is to separate classes as much as possible in a situation that one class is well separated from other c...