Posts by: Guest 1
Circular Reference Fix
Hello, I'm sure this topic has been discussed in the past, and I currently do not have access to the online self study videos. But, I wanted to know how to fix the circular reference problem when calculating interest expense as it feeds through the financial statements. Again, apologies for askin... Read More
Hello, I'm sure this topic has been discussed in the past, and I currently do not have access to the online self study videos. But, I wanted to know how to fix the circular reference problem when calculating interest expense as it feeds through the financial statements. Again, apologies for askin... Read More
Multiples & WACC class
Hi, (1). When calculating the D/E ratios for WACC, we are grabbing a “Total Debt” figure that includes M.I. (of course for the companies that have it). Don’t you think this is not appropriate and in some sense overstate the D/E ratio (forgetting about the relevance of the amounts and to be ... Read More
Hi, (1). When calculating the D/E ratios for WACC, we are grabbing a “Total Debt” figure that includes M.I. (of course for the companies that have it). Don’t you think this is not appropriate and in some sense overstate the D/E ratio (forgetting about the relevance of the amounts and to be ... Read More
taxes
Could you please explain exactly how the figures form the tax schedule (ie DTAs, DTLs) wrap into the CF Statement.
Could you please explain exactly how the figures form the tax schedule (ie DTAs, DTLs) wrap into the CF Statement.
Finance 101: DDM?
Hi Hamilton, you mentioned that the DDM is a theoretical model not usually used by investment banks. What cash flows do investment banks typically use then and how do you attain them? Also, I was wondering what the difference between the coupon and YTM rate is? Does the coupon rate simply not ... Read More
Hi Hamilton, you mentioned that the DDM is a theoretical model not usually used by investment banks. What cash flows do investment banks typically use then and how do you attain them? Also, I was wondering what the difference between the coupon and YTM rate is? Does the coupon rate simply not ... Read More
calculating CHANGE in N.W.C , why monthly and not annual?
Question: in PACKAGE 2 "Basic FM and DCF"...........Free Cash Flow Calculation "video" why was the Change in NWC calculated on a monthly basis and not on annual basis (cell I14, tab: DCF (simple) in HRH Model Template) taking into consideration that the column is for the w... Read More
Question: in PACKAGE 2 "Basic FM and DCF"...........Free Cash Flow Calculation "video" why was the Change in NWC calculated on a monthly basis and not on annual basis (cell I14, tab: DCF (simple) in HRH Model Template) taking into consideration that the column is for the w... Read More
Lost Formatting in Excel '07
I'm building the company financial model and as you can imagine it has gotten bigger than any spreadsheet I've ever created with many more references, but I wouldn't say it is a massive file. 232KB if that means anything to you. As it is a company model is has the circular reference built in, but I ... Read More
I'm building the company financial model and as you can imagine it has gotten bigger than any spreadsheet I've ever created with many more references, but I wouldn't say it is a massive file. 232KB if that means anything to you. As it is a company model is has the circular reference built in, but I ... Read More
Balance Sheet Not Balancing
I'm having a hard time understanding how to balance my model in the balance sheet. For example, taking the completed core fundamental model of the WMT example I took that model as a template to use in valuing another company. In the B/S I added a line item in current liabilities which balances in ... Read More
I'm having a hard time understanding how to balance my model in the balance sheet. For example, taking the completed core fundamental model of the WMT example I took that model as a template to use in valuing another company. In the B/S I added a line item in current liabilities which balances in ... Read More
RE: Finance 101: DDM?
Hello! I've two questions regarding this module. 1) In the Disney example, what decide finally of whether or not to invest is to see does IRR beat the project-specific WACC. My question is: will it be possibe that IRR and NPV do not agree in the decision of investment, coz I recall from Corpora... Read More
Hello! I've two questions regarding this module. 1) In the Disney example, what decide finally of whether or not to invest is to see does IRR beat the project-specific WACC. My question is: will it be possibe that IRR and NPV do not agree in the decision of investment, coz I recall from Corpora... Read More
Projected balance sheet challenge
Hi, Thank you for the great job you are doing.I am new to financial modelling,but i have alittle challenge,I have projected my income statement and balance sheet,but the balance sheet is not adding up to zero,i have a positive no as the difference for all of the projected years,this is what i hope... Read More
Hi, Thank you for the great job you are doing.I am new to financial modelling,but i have alittle challenge,I have projected my income statement and balance sheet,but the balance sheet is not adding up to zero,i have a positive no as the difference for all of the projected years,this is what i hope... Read More
So just to be clear then, are you agreeing that price to FCF is a bit apples-to-oranges? i.e. price paid by equity holders on a stream of CFs that only accounts for interest payment rather than principal payments seems inconsistent. It would seem that a "better" measure of "FCF yield&... So just to be clear then, are you agreeing that price to FCF is a bit apples-to-oranges? i.e. price paid by equity holders on a stream of CFs that only accounts for interest payment rather than principal payments seems inconsistent. It would seem that a "better" measure of "FCF yield" would take into account both, so using FCF / EV seems more appropriate than FCF(per share) / Price (per share) ? Read More