Question
The following table shows some financial data for two companies: Financial Data for Company A and Company B A B Total assets $1,552.1 $1,565.7 EBITDA
The following table shows some financial data for two companies:
| A | B | |
|---|---|---|
| Total assets | $1,552.1 | $1,565.7 |
| EBITDA | -60 | 70 |
| Net income + interest | -80 | 24 |
| Total liabilities | 814.0 | 1537.1 |
Calculate the probability of default for the two companies.
Which company has the higher probability?
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Applied Equity Analysis and Portfolio Management Tools to Analyze and Manage Your Stock Portfolio
Authors: Robert A.Weigand
1st edition
978-111863091, 1118630912, 978-1118630914
