Under such situations it becomes difficult for investors & lenders to analyze the financial performance of the organization. This leads to reduced sales, increased cost & losses, ineffective competition etc. The real net worth of the firm is, therefore negative. Bankruptcy is a situation where the firm's total liabilities exceed total assets. To achieve profit maximization objective, firm needs strong internal & external support. want them to do well and be effectively and efficiently managed to prevent driving them to the brink of business failure/bankruptcy and then pushing them to failure, if mismanagement continues. All stake holders, including banks, financial institutions, regulatory bodies, the government, suppliers, customers, etc. 1) Introduction The objective of all organizations is to create and increase shareholder value. Most of the firms are in Distress Zone which clearly indicates that these firms may go Bankrupt in near future. The study reveals that none of the companies completely belongs to Safe Zone except for few years. The research used secondary data from the financial reports of five manufacturing companies for a period of the five years from 2013 to 2017. All the above companies are manufacturing firms. The current study has been conducted to assess the financial health of firms namely Hindustan Uniliver Ltd, Colgate Palmolive, Nestle, ITC and P&G. The " Z score " analysis has been adopted to monitor the financial health of the company. This model envisages predicting the possibilities of bankruptcy of manufacturing organization. However, Altman's " Z-score " has been proven to be a reliable tool. For measuring the financial health of a business firm, there are lots of techniques available. Financial health is of great concern for a business firm.
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