Financial modelling with Excel
About this course
Microsoft Excel is the most used spreadsheet software for building effective
and realistic financial models which is critical for today’s value-driven
organization. Applying financial modeling techniques can help you overcome
the “what if” scenarios and the complexity of devising your forecasts in order
to make more meaningful financial strategic decisions.
Who should attended?
Staff in Accounting, Financial Control, Auditing, Strategic Planning, Budgeting,
Risk Management, Corporate Finance, Business Intelligence, Research and
Development (R&D), Postgraduate and Undergraduate students with interest
in Applied Finance.
This class is a practical class. This is a hands-on training, participants are
expected to come with their own laptop. At the end of this class, you should
be able to do the following:
- Understand the relevance and stages in financial modeling.
- Solve time value of money problem using Excel-FV,PV,NPV,IRR etc
- Construct models for equity and bond valuation.
- Build financial valuation models using DCF and multiple techniques.
- Prepare financial forecasts using Excel profit and loss account, balance Sheet and cash flow statement.
- Create cash budgets and portfolio models using Excel
- Use macros and hyperlink in financial model building
- Present historical financial scorecard using Excel charts and graphs
- Use Goal seek and solver in financial target setting and optimization
- Link financial ratios calculations to financial statements.
- Conduct a quick audit of excel’s financial models
Projecting Financial Statements
- Build a fully dynamic and integrated three statement model
- Use equity research, management guidance and industry forecasting conventions to forecast the income statement, balance sheet and cash flow statement
- Normalize historical results to exclude non-recurring items and reconcile GAAP to Non-GAAP presentations of financials
- Build supporting balance sheet schedules using a consistent roll-forward approach: Working Capital, Deferred Taxes, PP&E /
- Depreciation, Intangible Assets, Retained Earnings , and Debt & Interest
- Learn best practices for check models for errors, accuracy and integrity
- Check and fix circular reference and iteration problems (#REF)
- Insert circularity toggles and learn other tools for formula auditing
- Customize Excel for effective modeling using macro shortcuts
- Balancing the model and inserting automated crosschecks
Presentation and Scenarios
- Perform sensitivity analysis using data tables
- Perform scenario analysis using data validation
- Integrating drop down menus and other “bells & whistles”