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B 2020 2019 10-11 Sales 1,000,000 900,000 EBIT 400,000 350,000 Total Current Assets 300,000 250,000 Total Current Liabilities 200,000 175,000 Retained Earnings 200,000 180,000 Total

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B 2020 2019 10-11 Sales 1,000,000 900,000 EBIT 400,000 350,000 Total Current Assets 300,000 250,000 Total Current Liabilities 200,000 175,000 Retained Earnings 200,000 180,000 Total Liabilities 500,000 450,000 Total Assets 2,000,000 1,800,000 Total Shareholder's Equity 1,500,000 1,350,000 Using the following model, the Z-score is Z = 1.2X1 + 1.4X2 + 3.3X3 +.6X4 X5 where the variables are the following financial ratios: X = net working capital/total assets X2 = retained earnings/total assets X = EBIT/total assets X = market value of all equity/book value of total liabilities X5 = sales/total assets 3.16 B 3.61 2.16 D None of the above 11-11 There is a little probability that the company will go to bankruptcy True B False

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