Corporate Failure Forecast: Evidence from Registered Corporations in Ghana

¹Edward Domina Attafuah | ²David Ackah (PhD)

¹School of Finance & Financial Management | Business University of Costa Rica

²School of Business | Central University of Nicaragua

Email: edwardattafuah12@gmail.com | drackah@ipmp.edu.gh

Abstract

This treatise surveys the occurrence of bankruptcy forecast from an evolving economy viewpoint using the Altman Z-score model. Building on empirical data from a sample of 10 non-failed and failed corporations registered on the Ghana Stock Exchange, the researcher test Altman (1968) model through a cross section of different corporations with dataset within 2016 to 2020. Altman’s Z-score is relevant in forecasting bankruptcy in Ghana with regards to the size of the corporation in question. This study makes an imperative impact to the global discourse on corporate failure forecast in globalized world.

Keywords:  Corporate Forecast, Bankruptcy, Z-Score, Registered Corporations

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