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AIWMI Exam CCRA-L2 Topic 4 Question 30 Discussion

Actual exam question for AIWMI's CCRA-L2 exam
Question #: 30
Topic #: 4
[All CCRA-L2 Questions]

Mr. Gopi, while teaching the CCRA course to students described Altman's Model and stated that following variables do exist for Altman's Model:

1. total debt/total assets,

2. retained earnings/total assets.

3. earnings before interest and taxes/total assets,

4. market value equity/book value of total liabilities,

5. sales/total assets

Exactly how many variables are incorrectly identified?

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Suggested Answer: A

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