Posts by: Guest 1
Re: Minority Interest
OK. It is clear now that for purchase accounting, no proportionate consolidation. Now in the LBO Summary tab of the model (a) In "Uses of Funds", to calculate "Purchase Equity" I have multiplied share price by total number of outstanding shares irrespective that I am buying 90%... Read More
OK. It is clear now that for purchase accounting, no proportionate consolidation. Now in the LBO Summary tab of the model (a) In "Uses of Funds", to calculate "Purchase Equity" I have multiplied share price by total number of outstanding shares irrespective that I am buying 90%... Read More
Deferred Acquisition Costs for Life Insurance Companies
I am trying to value diversified insurance companies using market multiples. When you have the "amortization of deferred policy acquisition costs" for life insurers, should I treat it as a cash expense, not as a non-cash amortization charge it ostensibly is? This issues arises becuz we're compa... Read More
I am trying to value diversified insurance companies using market multiples. When you have the "amortization of deferred policy acquisition costs" for life insurers, should I treat it as a cash expense, not as a non-cash amortization charge it ostensibly is? This issues arises becuz we're compa... Read More
Why and how does the revolver balance the BS
Usually I use a simple plug to balance the BS but after taking your class I would like to incorporate a debt sweep to do this. However, I am unsure as to why the revolver balances the BS and can’t get the debt sweep to balance my models. I understand the formula pays down debt if there is cash a... Read More
Usually I use a simple plug to balance the BS but after taking your class I would like to incorporate a debt sweep to do this. However, I am unsure as to why the revolver balances the BS and can’t get the debt sweep to balance my models. I understand the formula pays down debt if there is cash a... Read More
Forex Gains (losses)
Hi WST, I understand that if, say, a US company with functional currency of USD and issues debt denominated in a foreign currency then each quarter the company will need to adjust the debt with foreign currency exchange gains (losses) on the balance sheet and income statement. Now, I am curious if ... Read More
Hi WST, I understand that if, say, a US company with functional currency of USD and issues debt denominated in a foreign currency then each quarter the company will need to adjust the debt with foreign currency exchange gains (losses) on the balance sheet and income statement. Now, I am curious if ... Read More
Re: Scatter Plot Data
Hi! thank you so much for your reply. I just checked this after a long time i thought we got notifications for replies... I would love to know how to do the graph you did, it would help a lot! let me know if you would like to post a reply or even speak on the phone if that would be easier to discu... Read More
Hi! thank you so much for your reply. I just checked this after a long time i thought we got notifications for replies... I would love to know how to do the graph you did, it would help a lot! let me know if you would like to post a reply or even speak on the phone if that would be easier to discu... Read More
Correct benchmark for beta
I'm a buy-side equity analyst at a European bank that has an equity portfolio of only euro zone stocks. In my valuation models, namely discounted cash flows, to arrive the WACC of a specific stock I use the Beta of the stock versus a European benchmark (I use Dow Jones Eurostoxx 50 index) with daily... Read More
I'm a buy-side equity analyst at a European bank that has an equity portfolio of only euro zone stocks. In my valuation models, namely discounted cash flows, to arrive the WACC of a specific stock I use the Beta of the stock versus a European benchmark (I use Dow Jones Eurostoxx 50 index) with daily... Read More
Re: Valuation - IRR
I hate to sound naive, but I guess coming from the pure equity long/short world, I am! To review, you would recommend I take the Quick & Dirty LBO class, or might this be too simple? Secondly, "The only thing that's missing is the first payment - or the purchase price so to speak. Once ... Read More
I hate to sound naive, but I guess coming from the pure equity long/short world, I am! To review, you would recommend I take the Quick & Dirty LBO class, or might this be too simple? Secondly, "The only thing that's missing is the first payment - or the purchase price so to speak. Once ... Read More
simple data table question
I made a mistake in typing in a data table formula, and now excel won't let me undo it. How do you undo a data table? (In my case every cell now reads Yedar 1.) Thanks.
I made a mistake in typing in a data table formula, and now excel won't let me undo it. How do you undo a data table? (In my case every cell now reads Yedar 1.) Thanks.
Effective vs marginal tax rate for FCFF
I have taken the on-line courses (Advanced Fin model - core model and the enhancements) and I still have a doubt that you may be able to help me with: - Not specifically talking about our case (WMT) but: Should anyone use the effective tax rate to calculate the tax-effected EBIT when calculating... Read More
I have taken the on-line courses (Advanced Fin model - core model and the enhancements) and I still have a doubt that you may be able to help me with: - Not specifically talking about our case (WMT) but: Should anyone use the effective tax rate to calculate the tax-effected EBIT when calculating... Read More
Sorry, one more question: Once I cleared up the first circ problem, is was fine with the 1 but as you say there was still a cir when I switched it to 2. What then is the value of doing the choose 1 or 2 on beginning versus average balance if the average balance forumla is always going to be flawed? ... Sorry, one more question: Once I cleared up the first circ problem, is was fine with the 1 but as you say there was still a cir when I switched it to 2. What then is the value of doing the choose 1 or 2 on beginning versus average balance if the average balance forumla is always going to be flawed? Thanks. Read More