Course Details
Course Outline
5 days course
Introduction and overview of Financial Modelling
- Define the Terms Model and Financial Model.
- Learn the 10 steps to create good Financial Models.
- The 12 steps to Improving traditional Financial Models.
- Use Flowcharting Techniques to improve your model.
Time Value Models
- Comprehend the Time Value of Money.
- Apply Time Value Concepts to Financial Models.
- Learn Why the Weighted Average Cost of Capital (WACC) Is Used in Capital Budgeting Models.
- Use Net Present Value (NPV) and Internal Rate of Return (IRR) Models in Making Capital Expenditure Decisions.
- Use the built-in functions for NPV, IRR, MIRR.
Financial Analysis Models
- Use Break-Even Analysis in Financial Models.
- Use Scenario Analysis in Financial Models.
- Use Sensitivity Analysis in Financial Models.
- Compare These Approaches.
- Incorporate Sensitivity Analysis and Scenario Analysis in Financial Models.
Lease v Buy Analysis Models
- Learn the Fundamental Concepts of Leasing.
- Identify the Different Types of Leasing.
- Learn How to Analyse Leasing an Asset vs. Purchasing the Asset.
- Use Financial Models to Make Lease vs. Buy Decisions.
Financial Ratio Analysis Models
- Identify Major Financial Ratios.
- Use Financial Ratios to Measure a Firm’s Financial Performance.
- Use “Peer Group” Analysis to Measure a Firm’s Financial Performance.
- Use Financial Ratios Models to Analyse a Firm’s Performance.
Models for Valuation of Stock and Bonds
- Learn How to Apply Dividend Discount Techniques.
- Calculate the “Intrinsic” Value of a Firm’s Common Stock.
- Rationalize the Difference between Intrinsic Value vs. Market Value for a Firm’s Common Stock.
- Learn How to Apply Bond Valuation Techniques.
- Calculate the Price and Yield to Maturity (YTM) of a Bond.
- Construct a Model to Evaluate Potential Bond Investments.
Comprehensive Models and Tools
- Using Tools like Solver & Goal Seeker.
- Developing a Financial Optimization Model.
- Identify the Types of Financial Activities That Can Be Connected in a Model.
- Build the Pieces of a “Connected” Model.
- Link the Pieces to Form a Multiple-Part Model.
Putting It all Together
- Understand How Models Are Created and Used.
- Deal with Problems in the Development and Use of Financial Models.
- Use Financial Models Effectively.
- Case study
