Premium
METHODOLOGICAL IMPLICATIONS OF NON‐NORMALLY DISTRIBUTED FINANCIAL RATIOS: A REPLY
Author(s) -
Barnes Paul
Publication year - 1983
Publication title -
journal of business finance and accounting
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.282
H-Index - 77
eISSN - 1468-5957
pISSN - 0306-686X
DOI - 10.1111/j.1468-5957.1983.tb00463.x
Subject(s) - residual , econometrics , economics , computer science , business , risk analysis (engineering) , algorithm
This reply extends the contention that fhancial ratios cannot be used comparatively with any safety. It is shown that the obstacles posed by Horrigan for residual analysis may easily be overcome.