STATISTICAL AND MATHEMATICAL MODELS USED TO ESTABLISH THE COMPANY BANKRUPTCY RISK DIAGNOSIS

Abstract

The diagnosis of the bankruptcy risk is a very important one since it concerns the company's capacity to meet its exigible commitments both on the short, medium and long term. The study of the bankruptcy risk is complex, being carried out in terms of liquidity, as well as in terms of solvency of the company. The main statistical and mathematical models of diagnosis of the bankruptcy risk are: the Altman Z-score, in the version developed for the emerging markets and the Conan-Holder model. Among other famous models for the measurement of the bankruptcy risk there are the Central Bank's Balance Model and the BDFI model developed by the Central Bank of France, but only usable in some cases of French companies.