Building Financial Models, Chapter 10 - Preparing to Build a Full Model PDF Download

Author: John Tjia
Publisher: McGraw Hill Professional
ISBN: 0071736654
Category : Technology & Engineering
Languages : en
Pages : 20

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Book Description
This chapter is from Building Financial Models, widely acclaimed by accounting and finance professionals for its insight into determining a company’s current value and projecting its future performance. Building on this tradition, the updated and expanded Second Edition helps readers develop a financial model, complete with entirely new material on discounted cash flow (DCF) modeling. Professionals will find this guide invaluable for both its practical, step-by-step approach to creating a core model and its broad coverage of model mechanics and foundational accounting and finance concepts.

Author: John S. Tjia
Publisher: McGraw Hill Professional
ISBN: 0071442820
Category : Business & Economics
Languages : en
Pages : 354

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Book Description
Financial modeling is essential for determining a company's current value and projecting its future performance, yet few books explain how to build models for accurately interpreting financial statements. Building Financial Models is the first book to correct this oversight, unveiling a step-by-step process for creating a core model and then customizing it for companies in virtually any industry. Covering every aspect of building a financial model, it provides a broad understanding of the actual mechanics of models, as well as their foundational accounting and finance concepts.

Author: James R. Morris
Publisher: CRC Press
ISBN: 1498765041
Category : Business & Economics
Languages : en
Pages : 637

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Book Description
A properly structured financial model can provide decision makers with a powerful planning tool that helps them identify the consequences of their decisions before they are put into practice. Introduction to Financial Models for Management and Planning, Second Edition enables professionals and students to learn how to develop and use computer-based models for financial planning. This volume provides critical tools for the financial toolbox, then shows how to use them tools to build successful models.

Author: John S. Tjia
Publisher: McGraw Hill Professional
ISBN: 126010883X
Category : Business & Economics
Languages : en
Pages : 432

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Book Description
The go-to-guide for building projection models for financial analysis and valuation—updated with new content and materials Building Financial Models is considered the best guide to designing and building financial models for use in a wide variety of finance roles. This third edition of the popular resource features updated content, new materials, and a more accessible instructional layout supported by all new exercise files available to readers from a companion website. As with previous editions, the book offers a hands-on approach for creating a core model that is supported by broad coverage of cornerstone accounting and finance principles. The author, a seasoned developer and trainer with over 25 years’ experience developing financial models, takes you step by step through the entire process of developing a projection model. From the basics of accounting and Excel to the final “tips and tricks” for a completed model, you will be led assuredly through the steps of building an integrated financial statement model, one that can serve as the core for transactions or analysis in the LBO, M&A, business valuation model, or credit underwriting space. ●NEW: Updates on the latest Microsoft Excel shortcuts, functions, accounting concepts and modeling techniques●NEW: “Tips and tricks” on how to make your final model product both user-friendly and solidly built●NEW: Additional materials on valuation analysis and sections on scenarios and sensitivity analysis through the use of Data Tables●Online access to sample models you can download, and more

Author: Tom Sawyer
Publisher: Apress
ISBN: 1430218991
Category : Computers
Languages : en
Pages : 291

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Book Description
Learn the business thinking behind financial modeling and execute what you know effectively using Microsoft Excel. Many believe that sales and profitability projections shown in financial models are the keys to success in attracting investors. The truth is that investors will come up with their own projections. The investor wants to understand the assumptions, structure, and relationships within the modeling of a startup. If the investor is satiated, the entrepreneur has successfully demonstrated a complete understanding of the business side of the enterprise. Pro Excel Financial Modeling provides the keys necessary to learn this thinking and to build the models that will illustrate it. Step–by–step approach to developing financial models in Excel Extensive case studies and Excel templates provided

Author: K. Scott Proctor
Publisher: John Wiley & Sons
ISBN: 0471693200
Category : Business & Economics
Languages : en
Pages : 370

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Book Description
A comprehensive guide to building financial models Building Financial Models with Microsoft Excel + CD-ROM provides beginning or intermediate level computer users with step-by-step instructions on building financial models using Microsoft Excel-the most popular spreadsheet program available. The accompanying CD-ROM contains Excel worksheets that track the course of the book and allow readers to build their own financial models. This comprehensive resource also covers important topics such as the concept of valuation, the concept of sensitivity analysis, the concepts of contribution margin and financial ratios and the basics of building and using a Capitalization Table. K. Scott Proctor, CFA, is the Director of Investor Analytics at SNL Financial, a financial information provider.

Author: Shmuel Oluwa
Publisher: Packt Publishing Ltd
ISBN: 1789531632
Category : Computers
Languages : en
Pages : 280

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Book Description
Explore the aspects of financial modeling with the help of clear and easy-to-follow instructions and a variety of Excel features, functions, and productivity tips Key FeaturesA non data professionals guide to exploring Excel's financial functions and pivot tablesLearn to prepare various models for income and cash flow statements, and balance sheetsLearn to perform valuations and identify growth drivers with real-world case studiesBook Description Financial modeling is a core skill required by anyone who wants to build a career in finance. Hands-On Financial Modeling with Microsoft Excel 2019 examines various definitions and relates them to the key features of financial modeling with the help of Excel. This book will help you understand financial modeling concepts using Excel, and provides you with an overview of the steps you should follow to build an integrated financial model. You will explore the design principles, functions, and techniques of building models in a practical manner. Starting with the key concepts of Excel, such as formulas and functions, you will learn about referencing frameworks and other advanced components of Excel for building financial models. Later chapters will help you understand your financial projects, build assumptions, and analyze historical data to develop data-driven models and functional growth drivers. The book takes an intuitive approach to model testing, along with best practices and practical use cases. By the end of this book, you will have examined the data from various use cases, and you will have the skills you need to build financial models to extract the information required to make informed business decisions. What you will learnIdentify the growth drivers derived from processing historical data in ExcelUse discounted cash flow (DCF) for efficient investment analysisBuild a financial model by projecting balance sheets, profit, and lossApply a Monte Carlo simulation to derive key assumptions for your financial modelPrepare detailed asset and debt schedule models in ExcelDiscover the latest and advanced features of Excel 2019Calculate profitability ratios using various profit parametersWho this book is for This book is for data professionals, analysts, traders, business owners, and students, who want to implement and develop a high in-demand skill of financial modeling in their finance, analysis, trading, and valuation work. This book will also help individuals that have and don't have any experience in data and stats, to get started with building financial models. The book assumes working knowledge with Excel.

Author: John S. Tjia
Publisher: McGraw Hill Professional
ISBN:
Category : Business & Economics
Languages : en
Pages : 368

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Book Description
This work provides a full description of the process of building a comprehensive financial model. It covers the process needed to create the core valuation/projection model that serves as the foundation for innumerable other financial models. Also extra functions can be added to the core model.

Author: Danielle Stein Fairhurst
Publisher: John Wiley & Sons
ISBN: 111935756X
Category : Business & Economics
Languages : en
Pages : 339

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Book Description
Make informed business decisions with the beginner's guide to financial modeling using Microsoft Excel Financial Modeling in Excel For Dummies is your comprehensive guide to learning how to create informative, enlightening financial models today. Not a math whiz or an Excel power-user? No problem! All you need is a basic understanding of Excel to start building simple models with practical hands-on exercises and before you know it, you'll be modeling your way to optimized profits for your business in no time. Excel is powerful, user-friendly, and is most likely already installed on your computer—which is why it has so readily become the most popular financial modeling software. This book shows you how to harness Excel's capabilities to determine profitability, develop budgetary projections, model depreciation, project costs, value assets and more. You'll learn the fundamental best practices and know-how of financial modeling, and how to put them to work for your business and your clients. You'll learn the tools and techniques that bring insight out of the numbers, and make better business decisions based on quantitative evidence. You'll discover that financial modeling is an invaluable resource for your business, and you'll wonder why you've waited this long to learn how! Companies around the world use financial modeling for decision making, to steer strategy, and to develop solutions. This book walks you through the process with clear, expert guidance that assumes little prior knowledge. Learn the six crucial rules to follow when building a successful financial model Discover how to review and edit an inherited financial model and align it with your business and financial strategy Solve client problems, identify market projections, and develop business strategies based on scenario analysis Create valuable customized templates models that can become a source of competitive advantage From multinational corporations to the mom-and-pop corner store, there isn't a business around that wouldn't benefit from financial modeling. No need to buy expensive specialized software—the tools you need are right there in Excel. Financial Modeling in Excel For Dummies gets you up to speed quickly so you can start reaping the benefits today!

Author: Nilesh Parwani
Publisher:
ISBN: 9788175258839
Category : Finance
Languages : en
Pages : 180

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Book Description
This book focuses on the applications of accounting concepts towards building an integrated financial model. This book, unlike your typical textbook, will serve as a practical guide that will be helpful to you even beyond college as you commence your career in Finance. This book is divided into three parts: Part One: Answer some frequently asked questions on financial modeling and introduce you to our common friend in this modeling exercise - Excel. The book lays out best practices in model-building, a list of key shortcuts, as well as some cool Excel tricks. Part Two: 10 Steps to building your very own financial model from a blank worksheet. Apart from presenting the mechanics through the 10 steps, the book also highlights certain Excel properties that are critical to the efficient functioning of your model. The final step highlights the relevance of key ratios and multiples in a simplistic valuation exercise. The book has an online website to help download the model template and raw data files used. Part Three: The goal of building and maintaining an integrated model for most finance professionals is to conduct multiple analyses by sensitizing the various drivers or assumptions behind the financials. In this section of the book, we will discuss the most efficient way to set up cases in Excel that will help you analyze the future performance of your company under different scenarios. WHAT ARE READERS SAYING? "A great tool for a student preparing for a career in Finance" David Haeberle, Kelley School of Business, Indiana, USA "This book will find a home on my desk as an analyst- from help in Excel to more detailed modeling components, it not only serves as a training tool, but also as a continued resource" Andrew Lauck, Investment Banking Analyst, Goldman Sachs, New York "Easy-to-follow steps that make you feel good about your modeling skills" Anish Saraf, Associate, Warburg Pincus, India "The valuation and sensitivity applications of an integrated model are very well done" Nishant Kanodia, Associate , Citigroup Investment Banking Division, London I am an NMIMS student and had bought a copy of the book which I found to be extremely useful in my current job (equity research). Thanks for writing such an informative book which gives a good start on Excel basics. :) Venkatesh Raghavan, MBA Student, NMIMS Mumbai Although I have been using Excel for close to two years now, this book really opened my eyes to the posibilities in the tool for 'real' business analysis - a lifetime gem Preeya Gupta, MBA Student, SPJain Dubai FOREWORD David Haeberle Program Co-ordinator, Investment Banking Workshop Kelley School of Business, Indiana University USA Nilesh's attempt to present a holistic view of financial modeling is an excellent addition to the tool-kit I provide my students preparing for careers in finance, specifically, investment banking. While students are aware of the various valuation methods and financial ratios, this book does a great job at bridging the gap between theoretical concepts and their practical application in the business world. What distinguishes Nilesh's book from other financial modeling books is the simplicity in which the modeling steps have been drafted and the seamless manner in which he has weaved various accounting, finance and valuation concepts into one integrated exercise. The Summary Valuation and Building Cases exercises will certainly enhance students appreciation for the value of an integrated financial model. More importantly, the several shortcuts and tricks of the trade presented in this book will help students save time and energy when working twenty hours a day at an investment bank! I also particularly like the first part of the book which educates readers on how to best use Excel in order to improve their efficiency and accuracy. Unlike most Excel books and software programs, this book streamlines only specific Excel attributes that are critical to the model-building exercise. I highly recommend this book to all finance and accounting students as well as professionals just entering the field of finance. This book provides an invaluable skill-set for any student with investment banking ambitions. In today's competitive job market, the financial modeling skill-set presented in this book will most definitely help you stand out in your interviews and jobs. ABOUT THE AUTHOR Nilesh Parwani graduated top of his class from the Kelley School of Business at Indiana University where he majored in Finance and Business Process Management. While in college, Nilesh was an Instructor for a course in Excel and Access and also a tutor for several other courses including Calculus, Finite Math, and Economic Statistics. Post graduation, Nilesh spent close to two years as an investment banker with UBS Healthcare Group in New York where he worked on more than ten transactions including what was at its time, the biggest overseas acquisition by an Indian pharmaceutical company. From October 2005 till June 2007, Nilesh worked with the global private equity firm, Warburg Pincus, in its Mumbai office. During his tenure at Warburg Pincus, Nilesh evaluated and helped make investments across sectors such as hospitality and real estate. GOAL OF THIS BOOK The goal of this book is not to educate you on how to theoretically think about future growth or margin contraction/expansion, but to provide you with a toolbox with which you can create a framework in Excel, a framework that provides you with all the flexibility to sensitize various business assumptions. Through this book, I hope to eradicate the myth that financial modeling is difficult and sophisticated. If you earnestly follow the steps laid out in this book to build your first integrated model, I assure you that your subsequent attempts to build models will get exponentially easier. -Author