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Darla Sandy
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Asked: 2024-06-05T15:45:19+05:30 In:

What are the components of the Altman Z-score, and how is it used in assessing a company's financial health?

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What are the components of the Altman Z-score, and how is it used in assessing a company's financial health?

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  1. Darla Sandy
    Knowledge Contributor

    The Altman Z-score incorporates multiple financial ratios to assess a company’s likelihood of bankruptcy. Its components include profitability, leverage, liquidity, solvency, and activity ratios.

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