Re: Ability to Pay Analysis
This analysis doesn't require the Acquiror's information. Think back to your other set of accretion/diultion q&a. You want to calculate the point at which the additional target net income added is offset by the interest expense paid to fund the deal (in cash which is funded via debt borrowings o... This analysis doesn't require the Acquiror's information. Think back to your other set of accretion/diultion q&a.
You want to calculate the point at which the additional target net income added is offset by the interest expense paid to fund the deal (in cash which is funded via debt borrowings or lower interest income).

Thus, you want to calculate that breakeven that equates the two. using the implied Cash PE (from your other q&a forum) then put the two concepts together per the video calculation. Read More

Re: Ability to Pay Analysis
Recall, we said MARGINAL changes - so Synergies is a marginal change that only occurs as a result of the merger! So you must incorproate into your analysis as well. If you like, set synergies to zero, which is why we build a data table on synergies!

Re: Core Model DCF - terminal cashflow
We can agree to disagree. However, note that if the Tax-Effected EBIT is much larger than FCFF then technically speaking, the perpetual growth method really shouldn't apply since it hasn't reached "run-rate" slow growth mode yet. We stand by our position that slow growth companies should ... We can agree to disagree.

However, note that if the Tax-Effected EBIT is much larger than FCFF then technically speaking, the perpetual growth method really shouldn't apply since it hasn't reached "run-rate" slow growth mode yet. We stand by our position that slow growth companies should see CapEx and depreciation to be close. Even if you don't agree with our usage of Tax-Effected EBIT, at least you should agree of that observation that "slow growth companies should see CapEx and depreciation to be close". Thus, at least we can say calculate terminal value using whichever base you want (in your case, you want to use FCFF, fine if you disagree with us) but then at least note the caveat that perpetual growth is best applied for slow growth companies. Read More

Re: Data skip blank and split window toggle
1) Assuming that your data is set up like the following: Column A: Year Column B: Quarter (1 thru 4) Column C: actual data We would recommend using a SUM array as covered in our Advanced Excel for Data Analysis class. Else you can do a pivot table. 2) Hit F6 function key to toggle the quadrants in... 1) Assuming that your data is set up like the following:
Column A: Year
Column B: Quarter (1 thru 4)
Column C: actual data

We would recommend using a SUM array as covered in our Advanced Excel for Data Analysis class. Else you can do a pivot table.

2) Hit F6 function key to toggle the quadrants in clockwise rotation. Hit Shift+F6 to toggle counter-clockwise. Read More

Re: Information session at AEPi
It was great meeting you and I'm happy to see you take an active role in your future. While things are still being played out in Wall Street in this current financial crisis, what is still certain is that the most elite areas of finance (i.e. investment banking, private equity, mergers & acqui... It was great meeting you and I'm happy to see you take an active role in your future.

While things are still being played out in Wall Street in this current financial crisis, what is still certain is that the most elite areas of finance (i.e. investment banking, private equity, mergers & acquisitions) will provide you with the tools and stepping stones to succeed in your future endeavours.

Despite the bashing that finance is taking now, no where else in finance, or any other job/career track for that matter, can provide you with what the top echelon of finance can provide, all in one, at an early stage of your career. This is an accelerated learning over a short few years in finance that can literally take decades to learn in non-finance, specifically:
- extreme discipline and attention to detail that is so critical to success in any chosen field
- ability to critically think and analyze and form independent decisions
- use of numbers and financial models to quantify difficult qualitative factors
- exposure to how to properly market and sell a product against a strong competitor
- methodical approach to problem solving and tackling difficult real-world situations
- research and grunt work required that supports and builds the final analysis (are you willing to get your hands dirty?)
- presentation skills and conducting oneself properly in a business setting
- learning all aspects of what makes a business function (three-legged stool of starting a business)
- separating teamwork vs working individually (what does it take to get the project done?)
- meet and learn from top executives from Fortune 500 companies helping them execute a piece of their business plan and corporate strategy
- absorb learning experiences from successful entrepreneurs who built their business up from scratch 20 years ago that you are now helping to sell or buy or invest in for $200 million

This is what the principals of Wall St. Training have personally gained from our respective experiences with Wall Street. Throughout your interaction with Wall St. Training, we are here to provide you guidance, mentorship and advice to reach your goal, now and in the future. We train over 12,000 professionals a year and you would belong to the WST network in which we help each other succeed. Your immediate goal is to catapult yourself to the position to master the tools listed above. Your intermediate goal is to master the tools. Your longer-term goal is to translate such tools into your own success story.

Let me know if you have any questions/concerns. Read More