Application and comparison of Altman models to predict financial failure of companies

الملخص EN

This research paper aimed to conduct a comparative analytical study between the original Altman model and his second revised model in predicting financial failure of companies.

The study concluded that there is a difference in the results of applying Altman's models to predict financial failure, but the second revised Altman model is considered the best in predicting failure.

Joint stock companies listed on the Amman Stock Exchange during the three years prior to the event of liquidation and failure, with a rating accuracy of 86.

67% compared to Altman's original.