Vertical Branding Inc.(fka VBDG)

[DaveinHackensack]

Pay attention to the four ratios used

In the version of the Altman Z-Score Model for non-manufacturing companies:

T1 = Working Capital / Total Assets
T2 = Retained Earnings / Total Assets
T3 = Earnings Before Interest and Taxes / Total Assets
T4 = Market Value of Equity / Total Liabilities

Of those four ratios, note that "Total Assets" is in the denominator of three of the four.

In light of your new-found interest in the Altman Z-Score model, you may be interested in reading this paper written in 2000 by Altman himself: http://pages.stern.nyu.edu/~ealtman/Zscores.pdf