You are given the following information for IBM and DELTA AIRLINES (in $ millions):

ASSETS	IBM	DELTA
Current Assets	49004	8904
Working Capital	6569	-2118
Cash	12741	4255
Total Assets	109524	45014
LIABILITIES
Current Liabilities	42435	11022
Short-term Debt	11236	1160
Total Liabilities	96059	44140
EQUITY
Retained Earnings	48507	-12688
Total Equity	13465	874
INCOME STATEMENT
Sales	103630	22697
EBIT	16750	113
Net Income	12334	-8922
CASH FLOW STATEMENT
Operating Cash Flows	18812	-1707
OTHER
Shares Outstanding	1339	695
Share Price	84.16	11.46

i) Which firm has the highest risk of bankruptcy?

ii) If you were a bank manager, to which firm would you lend money? Explain.

iii) Provide 3 recommendations about how DELTA can improve its credit worthiness.

iv) Would you use Z-score to assess the credit worthiness of a bank? Explain.