Course curriculum

  • 1

    Introduction

    • Course introduction

    • Learning objectives

    • Model preview

    • What is a financial model

    • Types of financial models

    • Downloadable files

  • 2

    Financial Modeling Best Practices

    • Key structure for model building

    • Modeling best practice

    • Inherent tensions in model building

    • Interactive exercise 1

    • Model inputs

    • Model processing

    • Model outputs

    • Model structure and approach

    • Financial modeling steps

    • Interactive exercise 2

  • 3

    Model Setup and Assumptions

    • Case overview

    • Historical data

    • Historical data cleanup

    • Assumptions, drivers and forecasting methods

    • Forecasting methods

    • Interactive exercise 3

    • Historical income statement demonstration

    • Fill in assumptions demonstration

  • 4

    Forecast Revenues Down to EBITDA

    • Forecast operating revenues and profits

    • Forecasting revenues

    • Forecasting gross margin and SG&A expenses

    • Forecast revenue down to EBITDA demonstration

    • Interactive exercise 4

  • 5

    Forecast Working Capital and PP&E

    • Forecast working capital

    • Working capital equations – receivable days

    • Working capital equations – payable days

    • Working capital equations – inventory days

    • Forecast working capital demonstration

    • Forecast PP&E

    • Forecast PP&E demonstration

    • Interactive exercise 5

  • 6

    Forecast Capital Structure

    • Forecast capital structure

    • Approaches to modeling capital structure

    • Circular references

    • Iterative calculation demonstration

    • Forecast long-term debt demonstration

    • Forecast interests and repayments demonstration

    • Complete the supporting schedule demonstration

    • Interactive exercise 6

  • 7

    Complete Cash Flow Statement

    • Cash flow forecast

    • Cash flows from operating activities

    • Cash flows from investing activities

    • Cash flows from financing activities

    • Complete income statement and balance sheet demonstration

    • Cash flow from operating activities demonstration

    • Cash flow from investing activities and financing activities demonstration

    • Check balance sheet demonstration

    • Interactive exercise 7

  • 8

    Review and Audit

    • Auditing techniques

    • Change the assumptions to check the model

    • Model auditing tools in Excel

    • Check formula inconsistency

    • Interactive exercise 8

  • 9

    Summary

    • Charts and graphs

    • Final thoughts

    • A modular approach to building models

    • Other final models

  • 10

    Additional Case Study

    • Additional case study overview

    • Downloadable files

    • Raw data

    • Copy and paste raw data

    • Format and link historical subtotals

    • Build supporting schedules

    • Calculate historical ratios and metrics

    • Fill in the assumptions

    • Build the income statement

    • Build the balance sheet

    • Complete supporting schedules

    • Complete the cash flow statement

    • Complete the I/S and B/S

    • Build charts and graphs

    • Download the completed model

    • Next steps

    • Summary

  • 11

    Qualified Assessment

    • Qualified assessment

    • Share Your Feedback

    • Course Completion