Paid calculator
Altman Z-score calculator
A classic screen for financial distress. Enter your assets, working capital, retained earnings, EBIT, equity, liabilities and sales.
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Paid calculator
Altman Z-score calculator
Buy this calculator on its own for $9, one time. No membership needed. It runs in your browser and nothing you enter is sent to us or saved. Read how it works and the questions below first.
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How it works
How it works
This uses the revised Z' model for private firms: 0.717 x (working capital / assets) + 0.847 x (retained earnings / assets) + 3.107 x (EBIT / assets) + 0.420 x (book equity / liabilities) + 0.998 x (sales / assets). Above 2.9 is the safe zone, 1.23 to 2.9 is the grey zone and below 1.23 is the distress zone.
FAQ
About this calculator
Is a low score a prediction that the business will fail?
No. It is a screen built from historical data on manufacturers, and small service or startup firms can score low and be fine. Use it as one signal alongside cash flow and trends.
Can I use negative numbers?
Working capital, retained earnings and EBIT can be negative in real life. Type the minus sign in the field if you need it.
Where do the numbers come from?
The balance sheet and profit and loss. Your bookkeeper can pull them.
Is anything saved?
No. The math runs in your browser and nothing you enter is sent to us.
Is this tax or financial advice?
No. It is a calculator for general information. Check the numbers against your own records, and ask an accountant before you act on them.
Related: quick ratio and working capital calculator, debt to equity ratio calculator. See all free tools. More free tools: Overtime pay calculator, Break-even calculator, Tips deduction calculator, or see all free tools.
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Do it yourself
Financial Ratio Analysis Workbook
Enter three years of statements and see margins, liquidity, leverage and efficiency ratios side by side, with what each one means in plain English.
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