The following numbers are extracted from the financial statements for a firm for 2011 and 2012. Amounts

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The following numbers are extracted from the financial statements for a firm for 2011 and 2012. Amounts are in millions of dollars.

2011 2012 Sales Earnings before interest and taxes Current assets Current liabilities Total assets Book value of shareho

At the end of 2011, the firm's 80 million shares traded at $25 each, but by the end of 2012 they traded at $15. Commentators blamed the drop on an increase in the risk of bankruptcy. Conduct a credit scoring analysis that indicates how much the likelihood of bankruptcy increased over the year.

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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