Posts by: Guest 1
Re: Balancing the Core Model
Thanks for your detailed responses. They were quite helpful.
Thanks for your detailed responses. They were quite helpful.
Complex LBO: mandatory repayment for existing debt tranch 1
Hi
In the 10k filings, some companies don't give the next future years mandatory debt repayment, or the information is not clear, unlike the situation in our case, what you are going to do in those situation? Is it possible to model that out based on limited information ?
Hi
In the 10k filings, some companies don't give the next future years mandatory debt repayment, or the information is not clear, unlike the situation in our case, what you are going to do in those situation? Is it possible to model that out based on limited information ?
IRR decline
In the quick and dirty LBO, the IRRs begin to decline after a certain point…. The instructors explaination is “ you growth rates, your capital, your revenue must continue growing at the same rate as your IRR for the IRR to continue to grow”… Does this mean your Revenue must grow at 22.5% ann... Read More
In the quick and dirty LBO, the IRRs begin to decline after a certain point…. The instructors explaination is “ you growth rates, your capital, your revenue must continue growing at the same rate as your IRR for the IRR to continue to grow”… Does this mean your Revenue must grow at 22.5% ann... Read More
about the diluted shares outstanding
I am taking the Advanced Financial Modeling course. I have a question about the calculation of the diluted shares outstanding. In the beginning, Mr. Lin assumed that the diluted share outstanding in 2006 equals to that in 2005 in IS and then calculated EPS. Next, he used projected diluted EPS from ... Read More
I am taking the Advanced Financial Modeling course. I have a question about the calculation of the diluted shares outstanding. In the beginning, Mr. Lin assumed that the diluted share outstanding in 2006 equals to that in 2005 in IS and then calculated EPS. Next, he used projected diluted EPS from ... Read More
Valuation Question
We are helping our client reduce inventory. We are trying to make the case that capital tied to inventory has a cost - inventory cost + cost of capital. In my view, it is WACC. Our client thinks it is interest rate of revolving credit. Your thoughts?
We are helping our client reduce inventory. We are trying to make the case that capital tied to inventory has a cost - inventory cost + cost of capital. In my view, it is WACC. Our client thinks it is interest rate of revolving credit. Your thoughts?
Implied P/E of debt
Can you further explain implied P/E of debt for the Acquiror? I have read this response and have watched the video but need further explanation than “Don't forget, multiples (5x) are inverses of percentages (20%) and that's mathmatical in nature. $100 x 5x is the same as $100 / 20%.” I don’t ... Read More
Can you further explain implied P/E of debt for the Acquiror? I have read this response and have watched the video but need further explanation than “Don't forget, multiples (5x) are inverses of percentages (20%) and that's mathmatical in nature. $100 x 5x is the same as $100 / 20%.” I don’t ... Read More
Question about EPS
Mr. Lin assumed that the diluted share outstanding in 2006 equals to that in 2005 in IS and then calculated EPS. Next, he used projected diluted EPS from IS to calculate the repurchased shares in CF and then calculated the basic shares outstanding. Next, he used the basic shares outstanding to recal... Read More
Mr. Lin assumed that the diluted share outstanding in 2006 equals to that in 2005 in IS and then calculated EPS. Next, he used projected diluted EPS from IS to calculate the repurchased shares in CF and then calculated the basic shares outstanding. Next, he used the basic shares outstanding to recal... Read More
Complex LBO: mandatory repayment relink
A user asks: In your complex LBO course, while building the Debt Sweep we included the mandatory payments of the existing debt of the company (i.e $459m for 2005 $21m for 2006 and so on). However those nukmjbers where hard coded. At the time of building th model the instructor said to leave them ... Read More
A user asks: In your complex LBO course, while building the Debt Sweep we included the mandatory payments of the existing debt of the company (i.e $459m for 2005 $21m for 2006 and so on). However those nukmjbers where hard coded. At the time of building th model the instructor said to leave them ... Read More
a question about circular refences
The calculation of share repurchase involves circular reference? If it does and circular reference at share repurchase is not solved, what to do?
The calculation of share repurchase involves circular reference? If it does and circular reference at share repurchase is not solved, what to do?
Hi, when you are calculating the change in account receivables, why you use the prior year's number to be subtracted by this year's number, why do it in reverse?
Thanks alot!