Ecosyste.ms: Awesome

An open API service indexing awesome lists of open source software.

Awesome Lists | Featured Topics | Projects

https://github.com/sayamalt/company-bankruptcy-prediction

Successfully developed a machine learning model which can accurately predict whether a firm will become bankrupt or not, depending on various features such as net value growth rate, borrowing dependency, cash/total assets, etc.
https://github.com/sayamalt/company-bankruptcy-prediction

binary-classification cicd-deployment cross-validation data-exploration-and-preprocessing data-visualization docker-container exploratory-data-analysis feature-engineering github-actions hyperparameter-optimization machine-learning model-deployment model-training-and-evaluation

Last synced: about 17 hours ago
JSON representation

Successfully developed a machine learning model which can accurately predict whether a firm will become bankrupt or not, depending on various features such as net value growth rate, borrowing dependency, cash/total assets, etc.

Awesome Lists containing this project

README 

        
## About Dataset



![Company Bankruptcy](https://1.bp.blogspot.com/-E_2cC9Oom7E/Xv8PK9BfgBI/AAAAAAAAAio/5ZmzIiyOOfI8WPS45FKYk0ojHN-vumqNQCLcBGAsYHQ/s1600/bankruptcy.jpg)

![Company Bankruptcy](https://stocktonfamilylawbankruptcy.com/wp-content/uploads/2017/04/shutterstock_587949494.jpg)

![Bankruptcy Prediction](https://insightimi.files.wordpress.com/2021/12/91305e85-8068-4af2-88ef-e15b5956aa65.jpeg)



### Context



The data were collected from the Taiwan Economic Journal for the years 1999 to 2009. Company bankruptcy was defined based on the business regulations of the Taiwan Stock Exchange.



### Attribute Information



Version 2: Updated column names and descriptions to make the data easier to understand (Y = Output feature, X = Input features)



Y - Bankrupt?: Class label 


X1 - ROA(C) before interest and depreciation before interest: Return On Total Assets(C) 


X2 - ROA(A) before interest and % after tax: Return On Total Assets(A) 


X3 - ROA(B) before interest and depreciation after tax: Return On Total Assets(B) 


X4 - Operating Gross Margin: Gross Profit/Net Sales 


X5 - Realized Sales Gross Margin: Realized Gross Profit/Net Sales 


X6 - Operating Profit Rate: Operating Income/Net Sales 


X7 - Pre-tax net Interest Rate: Pre-Tax Income/Net Sales 


X8 - After-tax net Interest Rate: Net Income/Net Sales 


X9 - Non-industry income and expenditure/revenue: Net Non-operating Income Ratio 


X10 - Continuous interest rate (after tax): Net Income-Exclude Disposal Gain or Loss/Net Sales 


X11 - Operating Expense Rate: Operating Expenses/Net Sales 


X12 - Research and development expense rate: (Research and Development Expenses)/Net Sales 


X13 - Cash flow rate: Cash Flow from Operating/Current Liabilities 


X14 - Interest-bearing debt interest rate: Interest-bearing Debt/Equity 


X15 - Tax rate (A): Effective Tax Rate 


X16 - Net Value Per Share (B): Book Value Per Share(B) 


X17 - Net Value Per Share (A): Book Value Per Share(A) 


X18 - Net Value Per Share (C): Book Value Per Share(C) 


X19 - Persistent EPS in the Last Four Seasons: EPS-Net Income 


X20 - Cash Flow Per Share 


X21 - Revenue Per Share (Yuan ¥): Sales Per Share 


X22 - Operating Profit Per Share (Yuan ¥): Operating Income Per Share 


X23 - Per Share Net profit before tax (Yuan ¥): Pretax Income Per Share 


X24 - Realized Sales Gross Profit Growth Rate 


X25 - Operating Profit Growth Rate: Operating Income Growth 


X26 - After-tax Net Profit Growth Rate: Net Income Growth 


X27 - Regular Net Profit Growth Rate: Continuing Operating Income after Tax Growth 


X28 - Continuous Net Profit Growth Rate: Net Income-Excluding Disposal Gain or Loss Growth 


X29 - Total Asset Growth Rate: Total Asset Growth 


X30 - Net Value Growth Rate: Total Equity Growth 


X31 - Total Asset Return Growth Rate Ratio: Return on Total Asset Growth 


X32 - Cash Reinvestment %: Cash Reinvestment Ratio 


X33 - Current Ratio 


X34 - Quick Ratio: Acid Test 


X35 - Interest Expense Ratio: Interest Expenses/Total Revenue 


X36 - Total debt/Total net worth: Total Liability/Equity Ratio 


X37 - Debt ratio %: Liability/Total Assets 


X38 - Net worth/Assets: Equity/Total Assets 


X39 - Long-term fund suitability ratio (A): (Long-term Liability+Equity)/Fixed Assets 


X40 - Borrowing dependency: Cost of Interest-bearing Debt 


X41 - Contingent liabilities/Net worth: Contingent Liability/Equity 


X42 - Operating profit/Paid-in capital: Operating Income/Capital 


X43 - Net profit before tax/Paid-in capital: Pretax Income/Capital 


X44 - Inventory and accounts receivable/Net value: (Inventory+Accounts Receivables)/Equity 


X45 - Total Asset Turnover 


X46 - Accounts Receivable Turnover 


X47 - Average Collection Days: Days Receivable Outstanding 


X48 - Inventory Turnover Rate (times) 


X49 - Fixed Assets Turnover Frequency 


X50 - Net Worth Turnover Rate (times): Equity Turnover 


X51 - Revenue per person: Sales Per Employee 


X52 - Operating profit per person: Operation Income Per Employee 


X53 - Allocation rate per person: Fixed Assets Per Employee 


X54 - Working Capital to Total Assets 


X55 - Quick Assets/Total Assets 


X56 - Current Assets/Total Assets 


X57 - Cash/Total Assets 


X58 - Quick Assets/Current Liability 


X59 - Cash/Current Liability 


X60 - Current Liability to Assets 


X61 - Operating Funds to Liability 


X62 - Inventory/Working Capital 


X63 - Inventory/Current Liability 


X64 - Current Liabilities/Liability 


X65 - Working Capital/Equity 


X66 - Current Liabilities/Equity 


X67 - Long-term Liability to Current Assets 


X68 - Retained Earnings to Total Assets 


X69 - Total income/Total expense 


X70 - Total expense/Assets 


X71 - Current Asset Turnover Rate: Current Assets to Sales 


X72 - Quick Asset Turnover Rate: Quick Assets to Sales 


X73 - Working capitcal Turnover Rate: Working Capital to Sales 


X74 - Cash Turnover Rate: Cash to Sales 


X75 - Cash Flow to Sales 


X76 - Fixed Assets to Assets 


X77 - Current Liability to Liability 


X78 - Current Liability to Equity 


X79 - Equity to Long-term Liability 


X80 - Cash Flow to Total Assets 


X81 - Cash Flow to Liability 


X82 - CFO to Assets 


X83 - Cash Flow to Equity 


X84 - Current Liability to Current Assets 


X85 - Liability-Assets Flag: 1 if Total Liability exceeds Total Assets, 0 otherwise 


X86 - Net Income to Total Assets 


X87 - Total assets to GNP price 


X88 - No-credit Interval 


X89 - Gross Profit to Sales 


X90 - Net Income to Stockholder's Equity 


X91 - Liability to Equity 


X92 - Degree of Financial Leverage (DFL) 


X93 - Interest Coverage Ratio (Interest expense to EBIT) 


X94 - Net Income Flag: 1 if Net Income is Negative for the last two years, 0 otherwise 


X95 - Equity to Liability 



### Source



Deron Liang and Chih-Fong Tsai, deronliang '@' gmail.com; cftsai '@' mgt.ncu.edu.tw, National Central University, Taiwan

The data was obtained from UCI Machine Learning Repository: https://archive.ics.uci.edu/ml/datasets/Taiwanese+Bankruptcy+Prediction



### Relevant Papers



Liang, D., Lu, C.-C., Tsai, C.-F., and Shih, G.-A. (2016) Financial Ratios and Corporate Governance Indicators in Bankruptcy Prediction: A Comprehensive Study. European Journal of Operational Research, vol. 252, no. 2, pp. 561-572.

https://www.sciencedirect.com/science/article/pii/S0377221716000412