Table 5 Summarizing hypotheses testing results
Hypotheses | Financial variables model | Market indicators model | Macroeconomic variables model | Corporate governance mechanisms model | Multidimensional model | Multidimensional model controlling for COVID-19 effects |
|---|---|---|---|---|---|---|
\({{\text{H}}}_{1{\text{a}}}\): Financial ratios are significant predictors of financial distress | Accept | Â | Â | Â | Accept | Accept |
\({{\text{H}}}_{1{\text{b}}}\): Market-based indicators significantly affect the likelihood of financial distress | Â | Accept | Â | Â | Accept | Reject |
\({{\text{H}}}_{1{\text{c}}}\): Macroeconomic variables have an impact on financial distress prediction | Â | Â | Accept | Â | Accept | Accept |
\({{\text{H}}}_{1{\text{d}}}\): Corporate governance practices have a significant effect on the probability of financial distress | Â | Â | Â | Accept | Reject | Reject |
\({{\text{H}}}_{1}\): A multidimensional model incorporating various dimensions can predict financial distress | Â | Â | Â | Â | Accept | Accept |