Abstract

The present study aimed to investigate and compare effects of financial ratios on the bankruptcy prediction in different industries. The statistical population consisted of all listed manufacturing companies on the Tehran Stock Exchange from the beginning of 2006 to the end of 2016. The studied sample consisted of 80 companies which were selected from six industries using the systematic elimination method. The present research used 15 financial ratios and Article 141 of the Commercial Code to investigate the financial crisis of companies. The hypothesis test was done using the correlation between variables and multivariate regression equations through the logistic model; and Cramer's Z test was utilized to compare modified coefficients of determination in models in different industries. The research results indicated different effects of financial ratios on the bankruptcy prediction of various industries.