Financial Health of Ambika Cotton Spinning Mills Limited- Pre and Post Financial Crisis: A Case Study
Abstract
The performance of spinning mill is severely affect by a number of problems such as high raw material cost, frequently power cut, high fuel cost and high interest charges and as a result will fail to earn any Profit for owner. It is also affected in the current global crisis and it is absolutely imperative for the government to prepare a long term strategy for the growth and export of textiles. This article deals with financial distress, if which not tackled on time, will leads to bankruptcy. This article aims at using bankruptcy prediction model developed by Edward Altman, Professor of Finance, Stern school of business, New York University, the application of Z score method to Ambika cotton spinning mill ltd., for the purpose of predicting its financial health. The conclusions Drawn could provide effective guidelines to the management of that company spinning mills and their stakeholdersDownloads
References
Altman, E. I. (1968b). “Financial ratios, discriminant analysis and the prediction of corporate bankruptcy”. Papers and proceedings of the Twenty-Ninth Annual Meeting of the American Finance Association, Detroit, Michigan, December28-30,The Journal of Finance, 23(4), 589- 609.
Craig C. Julian (200), “The impact of the Asian economic crisis in Thailand.” Managerial Finance, vol. 26, no.4, pp. 39-48. Retrieved from: http: //dx. doiorg/10.1108/03074350010766611
Samarakoon, L.P. and Hasan, T. (2003) Altman’s Z-score models of predicting corporate distress: evidence from the emerging Sri Lankan stock market. Journal of the Academy of Finance, 1: 119 – 125.
Suzanne K. Hayes,Kay A. Larry W. Hughes (2010), A Study of the Efficacy of Altman’s Z To Predict Bankruptcy of Specialty Retail Firms Doing Business in Contemporary Times ,Economics & Business Journal: Inquiries & Perspectives 1Volume 3 Number 1 October 2010, pg-130-134
Sasivimol Meeampol (2014) “Applying Emerging Market Z-Score Model To Predict Bankruptcy: A Case Study Of Listed Companies In The Stock Exchange Of Thailand (Set) “. Knowledge learning for quality life, International Conference 2014, 25-27 June 2014
Copyright (c) 2015 Journal of Progressive Research in Social Sciences
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
TRANSFER OF COPYRIGHT
JPRSS is pleased to undertake the publication of your contribution to Journal of Progressive Research in Social Sciences.
The copyright to this article is transferred to JPRSS(including without limitation, the right to publish the work in whole or in part in any and all forms of media, now or hereafter known) effective if and when the article is accepted for publication thus granting JPRSS all rights for the work so that both parties may be protected from the consequences of unauthorized use.