Click here to order free 3 ratio calculation spreadsheet!

Atlman z scorefinancial analysis software

The Altman z-score is included in the following highlighted FINANCIAL STATEMENT RATIO SPREADSHEETS, NOW ON SALE!

RA -  8 Basic

RA - 15

RA - 25

RA - 35

RA - 50 Professional

RA - 70 Small Business

RA - 75 Expert

RA - 100 Genius

RA - 125 Wizard

RA - 150 Extreme


See list of other ratio calculation formulas, definitions and explanations!

Turn your Financial Statements into a decision enhancing business tool! See our selection of ratio spreadsheet tools!

calculate z-score
Atman z-score formula
Altman z score formula

    Altman z-score
Altman's z-score

   Formula to calculate Altman's Z-Score:


z-score = 1.2 a + 1.4 b + 3.3 c + d     +    .6 f

                      e                                 g

where : 

a = working capital,

b = retained earnings, 

c = operating income,

d = sales, 

e = total assets, 

 f = net worth and

 g = total debt

   Altman z-score definition and explanation:

The Altman z-score is a bankruptcy prediction calculation.

The z-score measures the probability of insolvency (inability to pay debts as they become due).

1.8 or less indicates a very high probability of insolvency.

1.8 to 2.7 indicates a high probability of insolvency.

2.7 to 3.0 indicates possible insolvency.

3.0 or higher indicates that insolvency is not likely.  

The Altman z - score is included in the financial statement ratio analysis spreadsheets highlighted in the left column, which provide formulas, definitions, calculation, charts and explanations of each ratio.

The Altman z-score is included in the book "Financial Statement Analysis including over 200 ratios" available for $35 (freight included). Download for $7. Spreadsheet calculators also available.

The Altman z-score ratio is listed in our other accounting ratios.

The Altman z-score and other ratios are key to understanding financial statements. Our ratio calculation spreadsheets reduce time and effort in calculating decision making ratios. They reduce risk for lenders and investors and enable owners, managers and consultants to increase productivity and business profits. These spreadsheets are bargain priced to provide a huge return on investment. Click here for more details.

Spreadsheets to calculate ratios (includes formulas,    definitions, explanations and charts):

See list of ratios , or the financial statement ratio analysis spreadsheets which are not highlighted in the left column, to see which other ratios our spreadsheets calculate, define and explain.

Click here to order 16 ratio calculator spreadsheet (including Altman Z-score and $250 in Coupons) for $60.

The Altman Z-score may be included in our custom 1, 3 or 5 period financial statement ratio analysis spreadsheet.


calculate altman's z-score
Altamn z-score