Volume : I, Issue : X, July - 2012

Measuring The Performance Of Hypothetical Ltd. Using Z–Score Model

Dr. Prameela S. Shetty, Dr. Devaraj K

Abstract :

This paper discusses one of the venerable models for measuring the performance by way of assessing the distress of industrial corporations using Z–Score model. The Z–score formula for predicting bankruptcy was published in 1968 by Edward I. Altman, who was, at the time, an Assistant Professor of Finance at New York University. The Z–score uses multiple corporate income and balance sheet values to measure the financial health and to predict the corporate defaults of a company. Hypothetical Ltd. provides highly specialized services of its kind to the Oil & Gas sector. As per the Altman guidelines, the financial health of the Hypothetical Ltd. is tested through Z–score, and is concluded that the financial health of Hypothetical Ltd.is too healthy and its financial health is viable and there is no risk of a failure.

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Article: Download PDF   DOI : 10.36106/ijar  

Cite This Article:

Dr. Prameela S. Shetty, Dr.Devaraj K Measuring The Performance Of Hypothetical Ltd. Using Z-Score Model Indian Journal of Applied Research, Vol.I, Issue.X July 2012

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