A Study On The Financial Crisis Predicting Of AMJ Medium-Sized Enterprises Based On Efficacy Coefficient Method

With the continuous development of China's economy,more and more small and medium-sized enterprises are growing up,hoping to seek a certain space for development in a highly competitive market economy.However,due to various reasons,many small and medium-sized enterprises in China are difficult to survive for a long time.One of the reasons is that they have not paid enough attention to the financial management of enterprises,which has led many small and medium-sized enterprises to find out that the company's financial risks are significant during the operation period or it is already a crisis.If small and medium-sized enterprises can increase their attention to financial risks or problems,such as establishing early warning of financial crisis,identifying financial issues of the company earlier and finding key points of problems as soon as possible,then to a certain extent,it can reduce risks for the company,improve the quality of company management and extend the company's survival time.In view of the increasing differences between industries and enterprises in the modern society,the universally applicable early warning model of financial crisis cannot meet the needs of enterprises.Therefore,in the research process of this paper,we first sort out the literature contents of the financial crisis warning at home and abroad and introduce the efficiency coefficient method in detail.According to its advantages compared to other financial early warning models,it is selected for the financial crisis warning of this article.Secondly,this paper selects AMJ,a medium-sized manufacturing company,as a case,and constructs a financial crisis warning model applicable to the company through the efficacy coefficient method.Third,using the established early warning model to analyze the financial situation of AMJ in a horizontal and vertical manner.According to the results of the analysis,it is found that there are many problems with the financial status of AMJ,and profitability,development ability,solvency,and operational capacity all exist.Places that can be improved.In addition,the company's non-financial indicators also reflect the weak sales and production capabilities of AMJ and verify the validity of the model.Finally,based on the analysis of this article,it proposes and improves the financial status of AMJ.This article not only provides a reference for AMJ's internal decision-making,but also provides some reference for other SMEs wishing to establish a targeted early warning model.