What is the Z-score for this company? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.)

Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter6: Accounting Quality
Section: Chapter Questions
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Jon Fulkerson, a credit analyst at the True Credit bank, has received a credit application
from Seether, LLC, a private company. An abbreviated portion of the financial information
provided by the company is shown below:
Total assets
EBIT
Net working capital
Book value of equity
Accumulated retained
earnings
Total liabilities
$75,000
9,100
5,400
30,000
17,200
69,000
What is the Z-score for this company? (Do not round intermediate calculations and
round your answer to 3 decimal places, e.g., 32.161.)
Z-score
Transcribed Image Text:Jon Fulkerson, a credit analyst at the True Credit bank, has received a credit application from Seether, LLC, a private company. An abbreviated portion of the financial information provided by the company is shown below: Total assets EBIT Net working capital Book value of equity Accumulated retained earnings Total liabilities $75,000 9,100 5,400 30,000 17,200 69,000 What is the Z-score for this company? (Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161.) Z-score
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