There Are Only Five Traits That Explain Variations in Our

question 85

True/False

There are only five traits that explain variations in our personalities.

---

Definitions:

Altman's Z-Score

A formula used to predict the likelihood of a business entering bankruptcy within two years, based on various income and balance sheet values.

Bankruptcy Risk

The risk that a company will be unable to meet its debt obligations and forced to seek protection under bankruptcy laws.

Default Risk

The risk that a borrower will not make the required payments on its debt obligations.

Common-Size Financial Statements

These are financial documents where all line items are expressed as a percentage of a specific figure from the statement, facilitating ratio analysis and comparability.