Financial Ratios for Monitoring Corporate Sickness: Towards a More Systematic Approach |
Common terms and phrases
Accum Accumulated depreciation Altman's array asset turnover assets+ average balance sheet ratios bankruptcy Bombay Stock Exchange capital gap cash loss period cent centile combined company's continuous cash loss Corporate Sickness current assets current liabilities cut-off point depreciation charge earnings EBDIT EBDIT/Sales EBIT empirical tests enterprise equity base equity shares excise financial ratios firm's fixed assets Gambler's Ruin gross-of-depreciation ICICI industry group interest investment Key to Ratio liquidity ratios long-term debt method net of excise non-sick companies non-sick group non-sick textile companies non-textile companies non-textile sample OCF/Sales operating cash flow percentage classification error potentially sick predicted sick predictive power preference dividends price-level changes profit-to-assets ratios profit-to-sales ratio profitability measured ratio analysis Ratio Numbers Ratios based relative sample companies showed sick and non-sick sick companies sick group Sick Non-sick statistical tangible assets textile companies sample textile sample trade debtors values