Posts by: WST Expert 1
Re: Growth Rate Math
Using gordon growth formula, you would essentially solve for g:
TV = CF (1+g) / (r-g)
using algebra, solve for g:
g = (TV * r - CF) / (CF + TV)
Using gordon growth formula, you would essentially solve for g:
TV = CF (1+g) / (r-g)
using algebra, solve for g:
g = (TV * r - CF) / (CF + TV)
Re: Creating a summary page for dozens of tabs
Yep! There's an easy of doing this: Step 1) use our macro: Add-Ins, WST, Worksheet, Create Worksheet Index => this creates a new worksheet with list of all your 200+ tabs as currently ordered in your file => the list of worksheets starts in cell A3 and goes down column A Step 2) in cell B2, type... Read More
Yep! There's an easy of doing this: Step 1) use our macro: Add-Ins, WST, Worksheet, Create Worksheet Index => this creates a new worksheet with list of all your 200+ tabs as currently ordered in your file => the list of worksheets starts in cell A3 and goes down column A Step 2) in cell B2, type... Read More
Re: Off-balance sheet Inventory Financing
Since the off-balance sheet crude inventory financing is a required cash outflow for your project, yes, you must include that initial cash outflow in your IRR calculation. Otherwise, who will provide that capital to kick start the project? However, good news is that you should be able to model a ret... Read More
Since the off-balance sheet crude inventory financing is a required cash outflow for your project, yes, you must include that initial cash outflow in your IRR calculation. Otherwise, who will provide that capital to kick start the project? However, good news is that you should be able to model a ret... Read More
Re: Future lease payment
If the information is the same, then it is ok. We normally always cross reference to verify. Similar to extracting the future debt payments - it will often be in the Future Commitments and the Debt footnotes.
If the information is the same, then it is ok. We normally always cross reference to verify. Similar to extracting the future debt payments - it will often be in the Future Commitments and the Debt footnotes.
Re: Windows 8.1 set up?
We recently updated the tutorial file for Windows 8/8.1, which requires modification of the registry. Please refer to the last page of the PDF for detailed instructions. Be sure to back up your registry before making any changes, and follow the steps exactly as described.
We recently updated the tutorial file for Windows 8/8.1, which requires modification of the registry. Please refer to the last page of the PDF for detailed instructions. Be sure to back up your registry before making any changes, and follow the steps exactly as described.
Re: Acquisition of assets
Normally it is included. However if there is obsolete inventory, it can be excluded.
Normally it is included. However if there is obsolete inventory, it can be excluded.
Re: Capital Lease Discussion
1) Capital leases are treated as part of debt in credit ratios, as are the lease payments for both operating and capital leases. Refer to our in-class model on credit ratios 2) In a distressed situation, capital leases are typically cured and thus, no impairment. If yes impairment, then it falls ... Read More
1) Capital leases are treated as part of debt in credit ratios, as are the lease payments for both operating and capital leases. Refer to our in-class model on credit ratios 2) In a distressed situation, capital leases are typically cured and thus, no impairment. If yes impairment, then it falls ... Read More
Re: Minority interest included as debt
1) If the preferred stock is tax deductible then you treat it exactly as debt; that is, (1-T)(D/E + P/E). If prefs are not tax deductible then don't tax effect it; that is, (1-T)(D/E) + P/E
2) Cash is generally ignored when levering and unlevering betas
1) If the preferred stock is tax deductible then you treat it exactly as debt; that is, (1-T)(D/E + P/E). If prefs are not tax deductible then don't tax effect it; that is, (1-T)(D/E) + P/E
2) Cash is generally ignored when levering and unlevering betas
Re: Minority interest included as debt
Generally, for the purposes of levering and unlevering betas, you would not include Minority Interest (NCI) as part of the D/E portion. The reason is because the existence (or lack thereof) of MI does not impact Net Income, whereas altering D to E ratio would impact Net Income and therefore EPS and ... Read More
Generally, for the purposes of levering and unlevering betas, you would not include Minority Interest (NCI) as part of the D/E portion. The reason is because the existence (or lack thereof) of MI does not impact Net Income, whereas altering D to E ratio would impact Net Income and therefore EPS and ... Read More
That's very possible as well. We may need additional information on the specific situation at hand to come up a more accurate assessment. Of course, we understand that may not always be possible due a variety of reasons; however, any further details you can provide would be helpful.