The application of C4.5 algorithm based on SMOTE in financial distress prediction model
Zinan Chang · 2011
Datasets used in financial distress forecast are unbalanced. The traditional method gets lower predict accuracy especially in small samples of unbalanced datasets. The datasets are balanced with SMOTE method and then classified with the classical decision tree algorithm C4.5. The results show that the prediction model based on C4.5 algorithm gets the better performance.