Evaluation of Management Fraud Risk Based on Grey Correlation Model —Evidence from China’s ST Companies
Zexia Wang, Jing Xiang, Zhaoyun Ye
Available Online January 2014.
- https://doi.org/10.2991/gecss-14.2014.79How to use a DOI?
- management fraud, grey correlation model, risk score, the optimal threshold
- This paper evaluates risk of management fraud based on the grey correlation model. In this paper, 442 samples are applied to build index system according to the fraud triangle theory; 68 ST companies with motivation of preventing delisting are chosen as training samples to calculate risk scores; Another 20 companies have been chosen to test the effect of the model recognition. Research results show that the optimal threshold to identify fraud and non-fraud company is 0.465, comprehensive recognition rate of testing samples is 85%.The grey correlation model has a good performance in evaluating fraud risk.
- Open Access
- This is an open access article distributed under the CC BY-NC license.
Cite this article
TY - CONF AU - Zexia Wang AU - Jing Xiang AU - Zhaoyun Ye PY - 2014/01 DA - 2014/01 TI - Evaluation of Management Fraud Risk Based on Grey Correlation Model —Evidence from China’s ST Companies BT - 2014 International Conference on Global Economy, Commerce and Service Science (GECSS-14) PB - Atlantis Press SN - 1951-6851 UR - https://doi.org/10.2991/gecss-14.2014.79 DO - https://doi.org/10.2991/gecss-14.2014.79 ID - Wang2014/01 ER -