Z-Score Model Exercise: The following financial information was provided by ABC in its application for a loan (info. in US $000's).

Cash	$ 20	Accounts payable	$ 30
Accounts receivable	$ 90	Loans to Accounts Payable	$ 90
Inventories	$ 90	Accumulated (Accruals)	$ 30
		Long term debt	$150
Plant & Equipment	$500	Capital (Ret. Profit = $0)	$400
TOTAL Assets	$700	TOTAL Liabilities and Capital	$700

Also, the following information is relevant:

Sales = $500,000

Cost of goods sold = $360,000

Taxes = $56,000

Interest payments = $40,000

Net Income = $44,000

Dividends = 50%

Capital Market Value = Book Value

Using the above information, answer the following questions:

1.- What is the value of Z (Altman) for company ABC?