Modified Altamn's model


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Hi there. I have a question regarding academic research. I want to how can we interpret the Z values in the modified Altman' model developed by Mack Mason (1990). What does =1.75 mean?
How is the financial health/distress of the company?
 
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kirby

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According to above article, scores lower than 1.8 indicate company heading to bankruptcy.
 
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According to above article, scores lower than 1.8 indicate company heading to bankruptcy.
Thank you so much. But I am actually looking for the interpretation of Z-scores of "modified" Altman's model (by Mack Mason).
 
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Above is the original paper where Altman’s model was modified. I see no mention of an interpretation of scores different from the original model.
Thank you Kirby. I have a manuscript under review, and one of the reviewers asked me to interpret the mean z-score=1.755 which was obtained using the modified Altman's model. I have no choice but to use the interpretations of the z zones of the original Altman's model.
 

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