Abstract

This study examines the interplay between corporate governance structures and bankruptcy forecasting aiming to elucidate how governance mechanisms impact the accuracy and reliability of bankruptcy predictions. Through a comprehensive analysis of various governance models and their effectiveness in identifying financial distress signals the research highlights the significance of governance attributes such as board composition executive compensation and audit quality in forecasting bankruptcy risk. The study employs a combination of quantitative models and case studies to assess how robust governance frameworks can enhance predictive capabilities and mitigate financial uncertainty. Findings suggest that firms with stronger governance practices are better positioned to anticipate and manage potential bankruptcy risks thereby improving the accuracy of forecasting models. This paper contributes to the existing literature by offering insights into the critical role of corporate governance i