What the Insolvency Probability Report Represents
Insolvency Probability is the indicator that estimates the risk of a company no longer being able to meet and fulfill financial obligations such as invoices, loans, or debts to various financial institutions, suppliers, or collaborators, namely the company's creditors.
Insolvency Probability indicates that the company may enter payment incapacity or insolvency, due to the large number of financial obligations it has to fulfill and the lack of necessary resources.
Insolvency Probability is a theoretical indicator and estimates the risk of insolvency. This indicator does not provide any certainty regarding the occurrence of an event.
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