Consider the Following Data of a Prospective Borrower What Is This Company's Z-Score ?
A)2

Multiple Choice

Consider the following data of a prospective borrower. $$\begin{array} { | l | r | } \hline \text { Current assets } & \$ 120000 \\\hline \text { Current liabilities } & \$ 60000 \\\hline \text { Total assets } & \$ 500000 \\\hline \text { Market value of equity } & \$ 50000 \\\hline \text { Book value of equity } & \$ 60000 \\\hline \text { Retained earnings } & \$ 12000 \\\hline \text { Interest expense } & \$ 20000 \\\hline \text { Profit before tax } & \$ 200000 \\\hline \text { Sales revenue } & \$ 1000000 \\\hline\end{array}$$ What is this company's Z-score ?

A) 2.70
B) 2.80
C) 2.90
D) 3.00