​In both years, (Your Name) Industries has generated a net profit. Calculate the economic profit for both years and compare it with the net profit. Assume that the weighted average cost of capital is 10%. Use another spreadsheet within your worksheet to present your answers.

Your Name Industries, Inc.
Income and expense statement
for the years 20X1 and 20X2
	20X2	20X1
Sales	$ 4,893,750	$ 3,965,625
Costs of sale	3,425,625	2,775,938
Gross profit	1,468,125	1,189,687
Depreciacin	104,625	97,875
Sales and administration expenses	717,188	658,125
Lease expenses	109,688	109,688
Operating profit	536,624	323,999
Interest expenses	189,000	114,750
Profit before taxes	347,624	209,249
Taxes	86,906	52,312
Net income	$ 260,718	$ 156,937
Grades:
Contributory rate	25 %	25 %
Actions	64,125	50,625
earnings per share	$ 5.94	$ 4.54

Your Name Industries, Inc.
status
for the year ending December 31, 20X2
	20X2	20X2
Assets
Cash	$ 87,750	$ 69,188
Investments in securities	42,188	35,438
Accounts receivable	708,750	627,750
Inventory	869,063	708,750
Total current assets	1,707,751	1,441,126
Gross fixed assets	4,522,500	3,661,875
accumulated depreciation	923,063	818,438
Net plant and equipment	3,599,437	2,843,437
Total assets	$ 5,307,188	$ 4,284,563
Liabilities and equity
Accounts payable	$ 852,188	$ 523,125
Accrued expenses	59,062	50,625
Total current liabilities	911,250	573,750
long term debt	1,971,169	1,790,438
Total liabilities	2,882,419	2,364,188
Common capital ($2 per)	128,250	101,250
Overpaid capital	1,166,063	914,625
Retained earnings	1,130,456	904,500
Total stockholders' equity	2,424,769	1,920,375
Total liabilities and shareholders' equity	$5,307,188	$ 4,284,563

1. 
   
2. Using Altman's model for private companies, calculate the Z score and explain whether, based on the result, the company is in imminent danger of bankruptcy. You can include your answer in the spreadsheet of the financial ratios already calculated in part a.