Volume : V, Issue : IX, September - 2015

Prediction of financial distress using Altman Z– score: a study of select FMCG Companies

Gnyana Ranjan Bal

Abstract :

The objective of the paper is to apply Altman’s Z–score to predict corporate bankruptcy of select FMCG Companies. The study ranges for a period of five years from 2011 to 2015 for five select FMCG Companies. By applying Z–score and select liquidity ratios the study concludes that the investors can use this model to analyze financial position of the companies. In case of our select data, Z–score of all companies for current year shows sound financial position and less chances of bankruptcy in near future. Further the study suggests that the companies should regularly estimate Z–score for making strategies to improve their financial position.

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Article: Download PDF   DOI : 10.36106/ijar  

Cite This Article:

Gnyana Ranjan Bal Prediction of financial distress using Altman Zscore: a study of select FMCG Companies Indian Journal of Applied Research, Vol.5, Issue : 9 September 2015

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