Forecast of Financial Distress for Chinese Prelosing Listed Companies Based on the Logistic Model

Adopting the logistic model, this paper predicts the financial distress of 45 Chinese listed corporations that would suffer deficit according to their own announcements. For comparison, another 45 listed corporations with normal financial status are chosen. The empirical research shows that the logistic model is effect in predicting the financial distress of pre-losing listed corporations in Chinese stock markets.