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Compute and interpret Altman's Z-scores Following is selected financial information for ebay, for its fiscal years 2005 and 2006, (In millions, except per share data)
Compute and interpret Altman's Z-scores Following is selected financial information for ebay, for its fiscal years 2005 and 2006, (In millions, except per share data) 2006 2005 Current assets 54970.59 33.183.24 Current liabilities 251839 145493 Totales 13,49401 11,788.99 Total Tables 2.589.38 1.741.00 Shares outstanding 1,368.51 1.404.18 Retained earning 4,538 25 2819 64 Stock price per share 30.07 41.22 Sales 593.74 4552.40 Earnings before interest and taxes 1,439.771445.18 Compute and interpret Altman 2 scores for the company for both years. (Do not round until your final answer, then round your answers to two decimal pl 2006 2-score 2005 2-score Which of the following best describes the company's likelihood to go bankrupt given the z-score in 2006 compared to 2005, The -score in 2006 is half of the 2005 score; however, both scores are well above the score that represents a healthy company Othe 2-score in 2006 is double the 2005 score, The -score has increased sharply, which suggests the company has greatly increased the risk of bankruptey- The z-score in 2006 is half of the 2005 score. The z score has decreased sharply, which suggests the company is in financial distress The score in 2006 is double the 2005 score. The score has increased sharply, which suggests the company has greatly lowered the risk of bankruptcy
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