Author(s)

Jianfang Zhang, Kejing Zhou

Corresponding Author

Jianfang Zhang

ABSTRACT

This paper takes a hydropower company A as an empirical study, where we extract 10 financial indicators through correlation analysis and construct a financial risk warning system based on efficacy coefficient method. This paper conducts a detail study on the financial risk of company which based on the financial data of company A in 2017, and puts the data into the financial risk warning level table to analysis the financial risk of company A. Finally, we analyze and throw out some relevant suggestions based on the warning results.

KEYWORDS

Financial Risk, Risk Warning, Efficacy Coefficient Method