Author(s)

Hanwen Liang ¹

Affiliation(s)

¹ Haworth College of Business, Western Michigan University, Kalamazoo, 49008, United State

Corresponding Author

Hanwen Liang

ABSTRACT

With the development of technology, new energy is widely used in different industries. Presently, China's new energy vehicle (NEV) sector is still at the preliminary stage of development with companies involved in this sector facing potential financial risks. In early 2024, the Chinese government introduced a new policy of reducing subsidies for NEVs. This policy has inflicted considerable damage on most NEV companies including BYD. To reduce the damages due to financial risks, BYD should analyze and predict possible financial risks and implement prevention measures based on its current financial conditions. Centering on the disclosed financial information of BYD, this study discusses the main sources and manifestations of BYD's financial risks using contemporary financial management theory and information technology tools. Furthermore, through the establishment of a Z-score model for financial early warning, it comprehensively monitors and evaluates the financial risks of BYD in multiple dimensions following the reduction of subsidies.

KEYWORDS

BYD, Financial Analysis, Financial Early Warning

CITE THIS PAPER

Hanwen Liang, Financial Early Warning Analysis of BYD. Accounting and Corporate Management (2024) Vol. 6: 1-5. DOI: http://dx.doi.org/10.23977/acccm.2024.060501.

REFERENCES

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