Bankruptcy models in the Czech Republic

The paper deals with bankruptcy models generated by multiple discriminant analysis. It evaluates their design. It addresses the shortcomings by which such bankruptcy models (especially Altman’s indexes) feature. The conclusion is then focused on the possibility of application Altman’s indexes in the Czech Republic. It respectively, offers two options for correction of existing indices, which could increase their explanatory value. It’s just necessary to assess the depth of the correction to the applicable bankruptcy model and its relevant information value.