Day 4 - Financial Modeling, Forecasting and Integrity and Error Checking

Day 4 a.m.- Financial Modeling and Forecasting

Participants will learn how to build a three statement model using a detailed revenue forecast with price and volume drivers. A full debt schedule, including a cash sweep, is incorporated into the model. In addition to the main class case model, participants are given exercises to help them understand more complex modeling issues (for example, detailed depreciation schedules and working capital items). Common errors are covered from balancing a non-balancing balance sheet to debugging a model that is non-intentionally circular.

Key topics:

• Complex 3 statement models
• Modeling a detailed revenue forecast
• Modeling a cash sweep
• Modeling a detailed debt schedule include a cash sweep
• Consolidating and re-applying knowledge of circularity, iteration, and a toggle switch
• Building cash flow statements from scratch
• Troubleshooting techniques for cash flow statements
• Finding errors and integrity checking

Day 4 p.m. - Integrity and Error Checking

Common errors are covered from balancing a non-balancing balance sheet to debugging a model that is non-intentionally circular.

Key topics:

• Troubleshooting techniques for cash flow statements
• Finding errors and integrity checking
• Using Excel tools to help with integrity checking
• Finding unidentified hard numbers quickly and easily
• Using Excel’s “Jump tool” to trace through formulas with ease
• Using Excel to show the formulas underlying output
• Using Excel to find inconsistencies in the model
• Using Excel’s auditing tool to trace formulas