Artificial Intelligence in Economics and Managment: An Edited Proceedings on the Fourth International Workshop: AIEM4 Tel-Aviv, Israel, January 8-10, 1996

In the past decades several researchers have developed statistical models for the prediction of corporate bankruptcy, e. g. Altman (1968) and Bilderbeek (1983). A model for predicting corporate bankruptcy aims to describe the relation between bankruptcy and a number of explanatory financial ratios. These ratios can be calculated from the information contained in a company's annual report. The is to obtain a method for timely prediction of bankruptcy, a so­ ultimate purpose called "early war...