Day 1 - Modeling Standards and Building an Integrated Financial Model

Day 1 - Modeling Standards and Building an Integrated Financial Model

Participants begin with basic keyboard drills and shortcuts, and then rapidly progress to efficient formula construction and basic modeling and checking techniques. Using simple practice models, participants complete basic projections and start learning how to integrate the financial statements in a spreadsheet. The problem of circularities is addressed in detail, and participants learn how to use the iteration tool to solve circularities. Participants also learn how to stress-test the assumptions used, to efficiently check their work and to document it. Although simple, the sample companies contain the basic parts common to all projection models.

Key Topics:

• Basic keyboard shortcuts
• Excel settings for efficiency
• Key modeling formulas and structures
• Simple 3-statement projections
• Standards for good models
• Income statement, balance sheet and cash flow statement construction
• Introduction to checking methodologies
• Audit trails
• Incorporation of interest income and expense
• Circularity and iteration
• Ratios and summary
• Complete additional fully integrated models