Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

help me quicck plsss AJX corporation wants to take a loan to finance their expanding project. They approached the bank to request 5 million for

image text in transcribed

image text in transcribed

help me quicck plsss

AJX corporation wants to take a loan to finance their expanding project. They approached the bank to request 5 million for that purpose. You are a loan officer at a bank that uses the Altman Z score to take the final decision whether to accept the loan application or reject it. Using the below information, find the missing ratios. Based on your results, choose the right decision related to Ajx loan request. (round to three decimal places) Cash 1,950,000 Inventory 34,000 Account Receivables 10,000 Property, plant and equipment 301,950 Other non-current assets 174,000 Total assets 2,469,950 Account payable 131,000 Current portion of LT debt 260,500 Long-term debt 1,169,500 Other non-current liabilities 364,000 Total liabilities 1.925,000 Common stock 188,500 Retained earnings 356,450 Total liabilities and equities 2,469,950 Additional information: Sales Earning before interest & tax Equity market value 1,501,400 1,033,300 348,500 X1 X2 X3 X4 4 X5 N Decision

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer

13th Edition

978-0073379616, 73379611, 978-0697789938

More Books

Students also viewed these Accounting questions

Question

What is the rationale behind having an Alternative Minimum Tax?

Answered: 1 week ago

Question

Did Elizabeth use visual aids effectively?

Answered: 1 week ago

Question

What is the mean world syndrome?

Answered: 1 week ago

Question

Is Elizabeths speech persuasive or informative or both?

Answered: 1 week ago