M4-21. Bankruptcy Risk and Z -Score Analysis

$ 263,194

$ 847,785

$ 2,788,322 165,862,887 Following are selected ratios for T esla for two recent fiscal years. Compute and interpret A ltman Z-scores for the company for both years. Is the company's bankruptcy risk increasing or decreasing over this period?

Ratio Current ratio ............................ . .. . .... . .. . .. .
Working capital to total assets .. . .. . ....... .• .. • ....•.. . .. •
Retained earnings to total assets ............ • .. • .... • .. • .. •
EBIT to total assets .............. . . .. . .. . . . . . . . ....... • .
EBITDA to total assets .................... . .. . .... . .. . .. .
Market value of equity to total liabilities ....... • .. • .... • .. . .. •
Sales to total assets ...... . ........... . .. . . . . . . .... . ... . .
2018 1.135 0.042 (0.177)
(0.002)
0.061 2.890 0.716 2017 0.831 (0.0567)
(0.1788)
(0.0549)
0.0527 2.2827 0.3954