Applied Mathematics and Nonlinear Sciences
Journal license

Journal

Applied Mathematics and Nonlinear Sciences


Volume
& Issue

Volume 7, Issue 2


Published
on

July 15, 2022


Pages

483-490


DOI

Article

Financial Crisis Early Warning Model of Listed Companies Based on Fisher Linear Discriminant Analysis

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Authors

Jie Li Affiliation:
Educational Technology Statistics, Wuhai Vocational and Technical College, Wuhai, 016000, China
and Talal Alalkawi Affiliation:
College of Administrative Sciences, Applied Science University, Bahrain


Abstract

This article first uses a new method of nonlinear combination forecasting based on neural networks to construct a financial crisis early warning model and conduct an empirical study. The drafting article uses Fisher’s second-class linear discriminant analysis and binary logistic regression to establish a three-year early warning model for listed companies before the financial crisis. Empirical research shows that this early warning model applies to various industries. It can play a certain role in predicting and preventing the financial crisis of Chinese companies.


Keywords

Fisher linear discriminant, Listed company, Financial crisis, Early warning, 62H86


Citation

Li, J. & Alalkawi, T. (2022). Financial crisis early warning model of listed companies based on fisher linear discriminant analysis. Applied Mathematics and Nonlinear Sciences, 7(2), 483–490. https://doi.org/10.2478/amns.2022.2.0032
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