Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question

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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