Question
Account Description Amount Sales $2,000,000 Operating income $50,000 Working capital $350,000 Total assets $1,920,000 Total liabilities $1,410,000 Retained earnings $360,000 Market value of stocks $970,000
Account Description Amount
Sales $2,000,000
Operating income $50,000
Working capital $350,000
Total assets $1,920,000
Total liabilities $1,410,000
Retained earnings $360,000
Market value of stocks $970,000
1.- Using the information, calculate the Altmans Z-Score. Based on your analysis of the Z-Score, what is the status of the business?
2.- After analyzing the Z-Score and the different metrics needed to calculate the score, what is your opinion on the relevancy of the Z-Score?
3.- What outside factors can disrupt the accuracy of the score making it less dependable?
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Shipping Finance A Practical Handbook
Authors: Stephenson Harwood
4th Edition
1787421406, 978-1787421400
