Application of the Altman Model for the Prediction of Financial Distress in the Case of Slovenian Companies

Abstract

The aim of this paper is to verify the applicability and accuracy of the Altman model in the case of Slovenian companies. The use of the Altman model is hugely popular and widespread among financiers, analysts and other stakeholders who want to determine the creditworthiness of a company’s operations and the likelihood of it running into financial difficulties in the coming years.

Keywords

• financial distress
• altman z’’-score model
• bankruptcy prediction
• multiple discriminant analysis
• slovenia