how is the altman z score calculated 
the altman z score a variation of the traditional z score in statistics is based on five financial ratios that can be calculated from data found on a company s annual 10 k report the formula for altman z score is 1 2 working capital total assets 1 4 retained earnings total assets 3 3 earnings before interest and tax total assets 0 6 market value of equity total liabilities 1 0 sales total assets 