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What is Bankruptcy Risk

Bankruptcy and Reorganization in the Digital Business Era
Indexes are created with different weights with the ratios obtained from the financial statements of the companies. These indices are expected to be above certain reference values.
Published in Chapter:
The Effect of Bankruptcy Risk and Financial Stress on Firm Value: The Role and Importance of Audit in Preventing Bankruptcy
Nazan Güngör Karyağdı (Vocational School of Social Sciences, Turkey) and Ahmet Şit (Faculty of Social Sciences and Humanities, Turkey)
Copyright: © 2023 |Pages: 13
DOI: 10.4018/978-1-6684-5181-6.ch012
Abstract
The aim of this study is to investigate the effects of firm bankruptcy risk and auditing factors on the market value of firms and to investigate the effect of auditing on firm bankruptcy risk. The period of the research is 2011-2021. In the study on BIST Sustainability-25 Index, in the first model, the dependent variable is the market value/book value; the independent variables are Springate S Score, Fulmer H Score, Altman Z Score, Çolakoğlu MFA Score; the ratio of the number of independent auditor members to the total number of members; the number of members in the supervisory board; and the number of early risk detection committee members.
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International Effect on Family SME Financial Distress Prediction
When a firm no longer has financial recovery.
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