...Z-Scores A z-score, which is symbolized as z, is the statistic that relates the distance a score is relative to its mean when measured in standard deviation (SD) units (Heiman, 2012). The importance of a z-score is that it enables one to analyze data relative to scores. Z-Scores allow us to determine whether a particular score is equal to the mean, below the mean or above the mean of a bunch of scores, and how far a particular score is away from the mean. Evaluating the scores of Eric’s to determine different z-scores, we use the following computations that he computed where it takes a mean of 17 minutes with a standard deviation of 3 minutes to drive from home, park the car, and walk to his job. , Next we determine the z-score relative to the mean and the SD, to analyze the difference in time to accomplish these steps on different days. One day it took Eric 21 minutes to get to work, and computing the means from the minutes by the SD results in a z of +1.33, which tells you that Eric's time to get to work is 1.33 standard deviations from the mean. The z is positive because it is above the mean, and demonstrates that it took longer for Eric to leave home, park his car and walk to his job when the raw value of time was 21 minutes. On another day in which it took Eric 12 minutes to get to work, the z value resulted -1.66, demonstrating that the time it took Eric to get to work was below the mean, or it took less time. Observing the time in comparison to the mean, it is obvious...
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...Z = 1.2X.sub.1 + 1.4X.sub.2 + 3.3X.sub.3 + 0.6X.sub.4 + 1.0X.sub.5 Where X.sub.1 = Working Capital/Total Assets. This measures liquid assets in relation to the firm's size. Altman, interestingly, mentions that the most widely used current and acid ratios were not as good predictors as this measure. Where X.sub.2 = Retained Earnings/Total Assets. This is a measure of cumulative profitability that reflects the firm's age as well as earning power. Many studies have shown failure rates to be closely related to the age of the business. Where X.sub.3 = Earnings Before Income Taxes/Total Assets. This is a measure of operating efficiency separated from any leverage effects. It recognizes operating earnings as a key to long-run viability. Where X.sub.4 = Market Value of Equity/Book Value of Debt. This ratio adds a market dimension. Academic studies of stock markets suggest that security price changes may foreshadow upcoming problems. Where X.sub.5 = Sales/Total Assets. This is a standard turnover measure. Unfortunately, it varies greatly from one industry to another. We take the data from Yahoo Finance for year ended Dec 31, 2007 Sub 1 = Working Capital/Total Assets Current Assets 60,430 Current Liabilities 70,338 Working Capital (9,908) Total Assets 148,883 Sub 1 -6.65% Sub 2 = Retained earnings/Total Assets Retained earnings (39,392) Sub 2 -26.46% Sub 3 = Earnings Before Income Taxes/Total Assets Earnings Before...
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...Index | S/N | Topics | Page No. | 1 | ACKNOWLEDGEMENT | 00 | 2 | Initialization | 01 | 3 | Managerial Decision | 02 | 4 | Z- Score Analyze | 03 | 5 | Z – Score from Financial Statement | 03-09 | 6 | Result Verification | 10 | 7 | Reference | 00 | Initialization Bangladesh Development Bank Limited (BDBL) Bangladesh Development Bank Limited (BDBL) is fully state owned Commercial Bank of Bangladesh. In addition commercial banking, BDBL provides financial and technical assistance to broaden the private as well as public sector industrial base of the country. It prioritizes, especially, Export Oriented/Export Linkage industrial units, Efficient Import Substitution, Joint Ventures, Commercialization of local technology and promotion of agro-based industry. Vision, Mission, Values of the Bank: Vision: To emerge as the country’s prime Financial Institution for supporting private sector industrial and other projects of great significance to the country’s economic development. Also be active participant in commercial banking by introducing new lines of product and providing excellent services to the customers. Mission: * To be competitive with other Banks and Financial Institutions in rendering services ; * To contribute to the country’s socio-economic development by identifying new and profitable areas for investment ; * To mobilize deposit for productive investment ; * To expand branch network in commercially and geographically important places...
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...Z-Scores Application 1. The graduate selection committee wants to select the top 10% of applicants. On a standardized test with a mean of 500 and a standard deviation of 100, what would be the cutoff score for selecting the top 10% of applicants, assuming that the standardized test is normally distributed? 2. The average commute time via train from the Chicago O'Hare Airport to downtown is 60 minutes with a standard deviation of 15 minutes. Assume that the commute times are normally distributed. What proportion of commutes would be: a. longer than 80 minutes? b. less than 50 minutes? c. between 45 and 75 minutes? 3. Bob takes an online IQ test and finds that his IQ according to the test is 134. Assuming that the mean IQ is 100, the standard deviation is 15, and the distribution of IQ scores is normal, what proportion of the population would score higher than Bob? Lower than Bob? Z-scores are statistical tools for determining relative performance and comparison across different tests and results (Steinberg, 2011). Z-score helps to re-scale any raw data into standard deviation units. Therefore, different combinations of raw results transform to easy-for-comparison data. 1. Solution: A) Find the z-score, which is separating 10% of the best results. B) Find the value of X Z= (X-Mean)/ 100 Z for 10% or 0.1 from the table Appendix A (Steinberg, 2011) is 1.28 1.28 = (X-500)/100, Therefore X = (1.28 x 100) + 500 = 628 This score (628) separates 10% of the...
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...PREDICTING FINANCIAL DISTRESS OF COMPANIES: REVISITING THE Z-SCORE AND ZETA® MODELS Edward I. Altman* July 2000 *Max L. Heine Professor of Finance, Stern School of Business, New York University. This paper is adapted and updated from E. Altman, “Financial Ratios, Discriminant Analysis and the Prediction of Corporate Bankruptcy,” Journal of Finance, September 1968; and E. Altman, R. Haldeman and P. Narayanan, “Zeta Analysis: A New Model to Identify Bankruptcy Risk of Corporations,” Journal of Banking & Finance, 1, 1977. Predicting Financial Distress of Companies: Revisiting the Z-Score and ZETA® Models Background This paper discusses two of the venerable models for assessing the distress of industrial corporations. These are the so-called Z-Score model (1968) and ZETA® 1977) credit risk model. Both models are still being used by practitioners throughout the world. The latter is a proprietary model for subscribers to ZETA Services, Inc. (Hoboken, NJ). The purpose of this summary are two-fold. First, those unique characteristics of business failures are examined in order to specify and quantify the variables which are effective indicators and predictors of corporate distress. By doing so, I hope to highlight the analytic as well as the practical value inherent in the use of financial ratios. Specifically, a set of financial and economic ratios will be analyzed in a corporate distress prediction context using a multiple discriminant statistical methodology. Through...
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...Z Score Model analysis of Tecumseh Products Company | BY: Shelly Koeck September 24, 2012 Tecumseh Products Company is an industrial goods company that manufactures hermetically-sealed compressors for residential and specialty air conditioning, home refrigerators and freezers, and commercial refrigeration. Tecumseh competes in the same arena as General Electric Company. Tecumseh Products Company employees 6,100 people and are located in Ann Arbor, MI. The company currently has 18.48 M outstanding shares of which 311.16 K shares are at this time shorted by private and institutional investors with about 12.8 days to cover all short positions. Tecumseh has accumulated about 46.2M in cash with 7.8 M of positive cash flow from operations. The Z-Score is a multi-factor model that measures the financial health and economic stability of a company. The score is then used to predict the probability of a firm going into bankruptcy within the next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University. The factors that make up the algorithm are: First Factor: Working Capital / Total Assets = 101.1M/562.5M = .18 Second Factor: Retained Earnings / Total Assets = 317.9M/562.5M= .57 Third Factor: EBITDA / Total Assets= (22.4M)/562.5M= (.04) Fourth Factor: Market Value of Equity...
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...Worldwide Inc (NAS:ACIW) Altman Z-Score 2.73 (As of Today) ACI Worldwide Inc has a Z-score of 2.73, indicating it is in Grey Zones. This implies that ACI Worldwide Inc is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk. The zones of discrimination were as such: When Z-Score is less than 1.81, it is in Distress Zones. When Z-Score is greater than 2.99, it is in Safe Zones. When Z-Score is between 1.81 and 2.99, it is in Grey Zones. ACIW' s Altman Z-Score Range Over the Past 10 Years Min: 0.61 Max: 15.42 Current: 2.7 0.61 15.42 During the past 13 years, ACI Worldwide Inc's highest Altman Z-Score was 15.42. The lowest was 0.61. And the median was 3.20. Altman’s “Z- Score”, the paramount recognized model of Financial Distress which uses several ratios to generate a prediction of the likelihood of Bankruptcy. This model uses multiple discriminant analysis to predict the Financial Distress. According to the rules of calculating Z-Score, we need to find the Five Financial Ratios. Assessment Here we can perceive the ALTMAN’S Z -Score of ADVANCED CHEMICAL INDUSTRIES LIMITED (ACI), which reveals the Financial Distress of the Company as a whole. ACI has the Z-Score of 1.57 which reflects, the company is in the Ambiguous Position. On the other hand the entire company is not solvent enough because the Working Capital figure of the company is showing negative, which is one of the major factors in analyzing the Z-Score. At the end of the analysis...
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...and WRITING STYLE on a 10-point scale (10 is the best score). You should write notes to yourself about why you scored each source as you did. If you don’t write notes, you will have a much harder time explaining your rationale for your scores. Bring this ranking sheet with you when you come to class. When you are done scoring, rank the five sources from 1-5 (#1 should be the best source; 5 should be the worst). You can discuss your rankings with your group and explain why you ranked the sources the way you did. Example: Z. Why I Hate Health Care Reform C:_9__ A:_6___ P: _5__ O: _1__ W: _9__ Total Score: _30_/50 Rating the Articles A. One Month Later: Making Healthcare Reform a Reality C:_7___ A:_5___ P: __5__ O: __5__ W: __4__ Total Score: __26__/50 Notes: B. The Five Biggest Lies in the Healthcare Debate C:__3__ A:___5 P: _6___ O: ___2_ W: ___6_ Total Score: ___22_/50 Notes: C. The Moral Case Against Healthcare Reform C:__2__ A:__6__ P: _2___ O: __6__ W: _3___ Total Score: _19___/50 Notes: D. What Happened to Healthcare Reform? C:__5__ A:__1__ P: ___7_ O: __2__ W: __9__ Total Score: __24__/50 Notes: E. Andrew Rubin on Healthcare Reform C:__4__ A:_5___ P: _8___ O: _1___ W: __7__ Total Score: __25__/50 Notes Ranked order...
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...HAND TEST DR. EDWARD E. WAGNER HISTORICAL DEVELOPMENT • The first scientific attempts in relating the hand to personality developed out of the study of the body types (asthenic/thin; atheletic/ muscular; pyknic/ stocky) by Ernst Kretschmer in 1931. o BODY TYPES--- TRAITS( PSYCHOPATHOLOGIES ▪ PYKNIC: friendly ( depressive ▪ ASTHENIC: timid, introverted ( schizophrenic • Charlotte Wolff (1943) studied certain characteristics of the hand and handedness and derived a practical method of the hand interpretation based on the studied characteristic. o The Hand in Psychological Diagnosis (1951) considers the significance of endocrinological dysfunction, its psychological effects and chirological manifestations & outlines how and why the hand reflects temperament and personality. • The first empirical research was a report by Carmichael, Roberts and Wessell (1937) which showed that , to some degree, emotions can be encoded in and decoded from dynamic body movements, gait, and manual gestures. • The Hand Test was originated by E. Wagner in 1958 and was primarily used to differentiate normal from schizophrenic. • In 1962, Bricklin Protowski and Wagner published a monograph with an initial rationale and scoring for the Hand Test. THEORETICAL FRAMEWORK • Hand Test was developed to meet the general criteria for a projective test and also to be easily classified for empirical examination ...
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...Culverhouse College of Commerce: AC210 Fall 2012 Course number and title: AC 210 Introduction to Accounting. Course description: Introduction to accounting and financial reporting concepts and the use of accounting information in financial and managerial decisions. Credit hours: Four hours, including a one-hour required lab. Prerequisites: EC 110. Instructor: Lisa McKinney Office address: 364 Alston Hall E-mail address: lmckinne@cba.ua.edu Phone number: 348-6679 Office hours: MW 9:30am – 11:00am. Other times by appointment. Instructor: Dr. Xiaochuan (Kelly) Huang Office address: 361 Alston Hall E-mail address: xhuang8@cba.ua.edu Phone number: 348-0577 Office hours: TR 1:00pm – 1:45pm & TR 3:30pm – 4:45pm. Other times by appointment. Instructor: Kelsey Brasel Office address: 329 Bidgood Hall E-mail address: krbrasel@crimson.ua.edu Phone number: 348-0150 Office hours: TR 11:00am – 12:15pm. Other times by appointment. Instructor: Amanda Beck Office address: 329 Bidgood Hall E-mail address: aebeck@cba.ua.edu Phone number: 348-0150 Office hours: MW 2:00pm - 3:15pm. Other times by appointment. Required text: Phillips, Libby, and Libby, Fundamentals of Financial Accounting, 3rd edition, 2011, McGraw-Hill Irwin, hardcopy or loose-leaf option. Also, you will need a Pass Code for Connect, the online homework program that accompanies the text. A Pass Code for the online homework is only valid for one semester so you cannot purchase...
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...If sprintAverage == 800 ThenDisplay “Sprint download rate is 800”End If | Sprints download rate is 800 | If attAverage >= 1300 OR tmobileAverage >=900Display “Select either carrier”End If | Select either carrier | Score | Employment Category | Interview Possibility | 85 or above | Definite | Yes | 70- 84 | Likely | Yes | 60-69 | Maybe | Yes | 59 or below | No | No | Main Module() //Declare variable on the next 3 lines //Declare Interger testScore = 0 //Declare String category = “ “ // Declare String inverview = “ “ //Make Module calls and pass necessary variables on the next 4 lines //Module getScore() //Module employCat() //Module interviewPoss() //Module displayInfo() End Main Module getScore(Interger Ref testScore) //Ask the user to enter a test score End Module Module employCat(Integer testScore, String Ref category) //Determine what employment category they are in based on their test score //Similar to if the score is less than 60, then category is “No” //Otherwise, if score is less than 70 then category is “Maybe” //…and so on End Module Module interviewPoss(Integer testScore, String Ref interview) //Determine if they qualify for an interview based on their test score //Similar to if the score is less than 60, then interview is “No” //Otherwise, interview is “Yes” End Module Module displayInfo(Interger testScore, String category, String interview)...
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...can derive an un-weighted gap score or a weighted gap score. Weighting depends upon how you allocate 100 points among the five SERVQUAL categories. A modified use of the questionnaire is to limit it to just the total or average Perception score. This is called SERVPERF and is used when Expectations are likely to be all the same (typically high). Weights can be applied here as well. STEPS TO OBTAIN UNWEIGHTED SERVQUAL SCORE Step 1. Select a business the service quality of which you want to assess. Using the SERVQUAL instrument, first obtain the score for each of the 22 expectation questions. Next, obtain a core for each of the perception questions. Calculate the Gap Score each of the statements (Gap Score = Perception – Expectation). Step 2. Obtain an average Gap Score for each dimension by assessing the Gap Scores for each of the statements that constitute the dimension and dividing the sum by the number of statements making up the dimension. Step 3. In TABLE 1 transfer the average dimension SERVQUAL scores (for all five dimensions) from the SERVQUAL instrument. Sum up the scores and divide it by five to obtain the unweighted measure of service quality. STEPS TO OBTAIN THE WEIGHTED SERVQUAL SCORE Step 1. In Table 2 calculate the importance weights for each of the five dimensions constituting the SERVQUAL scale. (The instructions are provided along with the table). Step 2. In Table 3 enter the average SERVQUAL score for each dimension (from Table...
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...76 range. Organizations with employees who score low are more likely to experience higher absenteeism and turnover. Gary is reliable and always on time. He is frequently counted on to ensure tasks are completed by other employees and has good leadership qualities. His time management is definitely a concern. He waits until the last minute to accomplish tasks and leaves team members scrambling when trying to accomplish tasks. Am I Engaged? Gary scored a 9 indicating that he is very detached from his current duties. Those who score high are more likely to have job satisfaction, work through problems and challenges, and devote more time to their jobs. Gary has the ability to overcome his lack of interest in his position though his work ethic. If challenged with different tasks it will spark his creative side and gain his attention again. If Gary has no interest in his assignments then he won’t give 100% to the team which will lessen his engagement. How Are You Feeling Right Now? Gary scored 33 from a range of 10 to 50. Higher numbers indicate more positive emotions, which benefit the organizational culture. Gary knows how to compose himself when in a work setting. He does fly off the handle at employees or make anyone nervous. Gary focuses on the negatives rather than the positives. This action tends to bring employees down around him. What’s My Affect Intensity? Gary scored 31 from a range of 10 to 50. The higher the score the more emotionally intense people tend to...
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...Total Points: 100pts (25 points per critique) Instructions: 1. Each student must review FOUR peer’s ePortfolio sites. Review it carefully for all required items. 2. Score each site using the below Peer Critique Worksheet. Please provide comments justifying the score issued (this is required!). 3. Submit on Blackboard using the assignment link all FOUR critiques by the due date and time. Due Date: • Monday, March 20, 2012 by 11:59 pm. (NO LATE SUBMISSIONS ALLOWED!) Your Name: __________________ Peer Name (Site you Critiqued): ____________________ Skill Exceptional: [20 points] Effective: [15 points] Acceptable: [10 points] Unsatisfactory: [5 points] (Did not turn in an ePortfolio) [0 points] Student Score Response to ePortfolio Assignment (Required Content Areas) Followed all of professor’s directions; completed the assignment; added extra material. Followed most of the professor’s directions; completed the assignment. Did not follow most of the professor’s directions or failed to complete part of the assignment. Disregarded professor’s directions and failed to complete a significant part of the assignment. Did not complete the ePortfolio assignment. Creative Use of Technology Innovative use of graphics, sounds, e-mail, links, additional software and Internet resources: superior presentation. Several creative sounds, graphics, and links used; presentation: keeps readers attention. Some uses of interesting sounds...
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...| State Code of Eligibility: (14) HIMACHAL PRADESH | Percentile Score in Qualifying Examination : Paper I : 79.73 Paper II : NA | All India Percentile Score in JEE(Main)-2014 Paper I : 87.93 Paper II : NA | JEE (Main) Score (a) | Qualifying Examination Normalized Score (b) | Total {60% of (a + 40% of (b)} (c) | Paper | Subjects | Marks Obtained | | | Paper - I | Physics | 24 | 79.24 | 83.90 | | Chemistry | 50 | | | | Mathematics | 13 | | | | Total | 87 | | | Paper - II | Mathematics | NA | NA | NA | | Aptitude Test | NA | | | | Drawing Test | NA | | | | Total | NA | | | | | B.E./B.Tech | B.Arch/B.Planning | | Overall Rank | Category Rank | Overall Rank | Category Rank | ALL INDIA | 211656 | 9451 | ------ | ------ | STATE | 1159 | 102 | ------ | ------ | Remarks : | B.E./B.Tech :- | Permitted to fill up choices online for counselling | B.Arch/B.Planning :- | | | | Note: 1. The Category and Sub –Category has been indicated as mentioned by the candidate in the application form. 2. State Ranks are based on State Code of Eligibility ie. State from where the candidate has passed +2 examination. Those who have not filled up State Code of Eligibility, their State rank have not been indicated. State Rank is provisional subject to verification of documents at the time of counselling. 3. Percentile Score in Qualifying Examination has been calculated...
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