The Handbook of Financial Modeling [electronic resource] : A Practical Approach to Creating and Implementing Valuation Projection Models /
Avon, Jack.author.
The ability to create and understand financial models that assess the valuation of a company, the projects it undertakes, and its future earnings/profit projections is one of the most valued skills in corporate finance. However, while many business professionals are familiar with financial statements and accounting reports, few are truly proficient at building an accurate and effective financial model from the ground up. That's why, in The Financial Modeling Handbook, Jack Avon equips financial professionals with all the tools they need to precisely and effectively monitor a company's assets and project its future performance. Based on the author's extensive experience building models in business and finance—and teaching others to do the same—The Handbook of Financial Modeling takes readers step by step through the financial modeling process, starting with a general overview of the history and evolution of financial modeling. It then moves on to more technical topics, such as the principles of financial modeling and the proper way to approach a financial modeling assignment, before covering key application areas for modeling in Microsoft Excel.  Designed for intermediate and advanced modelers who wish to expand and enhance their knowledge, The Handbook of Financial Modeling also covers: The accounting and finance concepts that underpin working financial models; How to approach financial issues and solutions from a modeler's perspective; The importance of thinking about end users when developing a financial model; How to plan, design, and build a fully functional financial model; And more. A nuts-to-bolts guide to solving common financial problems with spreadsheets, The Handbook of Financial Modeling is a one-stop resource for anyone who needs to build or analyze financial models.
Description based upon print version of record.
""Contents""; ""About the Author""; ""Acknowledgments""; ""Introduction""; ""Chapter 1: Financial Modeling: An Overview""; ""Financial Modeling: A Definition""; ""Microsoft Excel as the Modelerâ€?s Tool""; ""Where Are Financial Models Used?""; ""The Role of the Financial Modeler""; ""Chapter 2: Financial Modeling Best Practices""; ""What Are the Best Practices of Financial Modeling?""; ""Keep the Constituents Separate""; ""Reduce Implicit Assumptions to a Minimum""; ""Avoid Using Constants Inside Formulas""; ""Let Inputs Drive Your Models, Not Calculations""
""Have Only One Input for Each Assumption""""Specify Measurement Units for All Input Assumptions""; ""The Logical Flow of Calculations and Circularity""; ""Use Consistent Formulas Across Rows""; ""Avoid Mixing Time Periods of Different Lengths""; ""Break Up Long Formulas into Simple Pieces""; ""Include Automatic Error Checks""; ""Errors Explained""; ""The Reasons for Errors""; ""Unskilled Users""; ""Lack of Planning""; ""Data and Recycling""; ""Intrusions""; ""Who Will Review or Check for Errors?""; ""Real-Life Errors""; ""A Tip on Errors""; ""Catching and Trapping Errors""
""How to Work with Errors in Models""""Adding Error Checks""; ""Best Practices in a Nutshell""; ""Case Study: Financial Model Gone Awry""; ""The Non-best Practice Model""; ""The Best Practice Model""; ""Chapter 3: Modeling Functions and Tools""; ""Excel Formulas and Functions for Modelers""; ""Most Used Functions""; ""IF(â€?)""; ""SUMIF(â€?), COUNTIF(â€?), AVERAGEIF(â€?)""; ""SUMIFS(â€?)""; ""Lookup Functions""; ""VLOOKUP(â€?)""; ""MATCH(â€?)""; ""INDEX(â€?)""; ""OFFSET(â€?)""; ""CHOOSE(â€?)""; ""Date and Time Functions""; ""NETWORKDAYS.INTL(â€?)""; ""DATEDIF(â€?)""; ""WORKDAY(â€?)""
""EOMONTH(â€?)""""DAYS360(â€?)""; ""DATE(â€?)""; ""Math Functions""; ""MOD(â€?)""; ""PRODUCT(â€?)""; ""SUM(â€?)""; ""Logical Functions""; ""AND(â€?)""; ""OR(â€?)""; ""ISERROR(â€?)""; ""Functions That Use Arrays""; ""SUMPRODUCT(â€?)""; ""Working with Custom Functions or UDFs""; ""What Are UDFs?""; ""When Would You Design and Use UDFs?""; ""LINKADDRESS(â€?)""; ""EFFINDEX(â€?)""; ""SUMCOLOR(â€?)""; ""SUMTB(â€?)""; ""ISDATE(â€?)""; ""WORKSHEETSTATS(â€?)""; ""Typical Modeling Issues and How to Address Them with Functions""; ""Dealing with Text When You Need Values""
""Case Study: Using Modeling Functions and Tools""""Chapter 4: Planning Your Model""; ""Introduction to the Financial Modeling Life Cycle""; ""Here is a list of the ten key development stages:""; ""Planning to Build a Model""; ""Is There a Clear Understanding of Cash?""; ""How Much Detail Is Required?""; ""Create Scenario Analysis and Sensitivity Analysis""; ""Assumptions: How Realistic Are They?""; ""Missing Key Elements in Financial Statements""; ""Developing a Feasibility Assessment""; ""Scoping the Modeling Project""; ""The Specification & Strategy""
""The Benefits of Model Specification""
Includes bibliographical references and index.
The ability to create and understand financial models that assess the valuation of a company, the projects it undertakes, and its future earnings/profit projections is one of the most valued skills in corporate finance. However, while many business professionals are familiar with financial statements and accounting reports, few are truly proficient at building an accurate and effective financial model from the ground up. That's why, in The Financial Modeling Handbook, Jack Avon equips financial professionals with all the tools they need to precisely and effectively monitor a company's assets and project its future performance. Based on the author's extensive experience building models in business and finance—and teaching others to do the same—The Handbook of Financial Modeling takes readers step by step through the financial modeling process, starting with a general overview of the history and evolution of financial modeling. It then moves on to more technical topics, such as the principles of financial modeling and the proper way to approach a financial modeling assignment, before covering key application areas for modeling in Microsoft Excel.  Designed for intermediate and advanced modelers who wish to expand and enhance their knowledge, The Handbook of Financial Modeling also covers: The accounting and finance concepts that underpin working financial models; How to approach financial issues and solutions from a modeler's perspective; The importance of thinking about end users when developing a financial model; How to plan, design, and build a fully functional financial model; And more. A nuts-to-bolts guide to solving common financial problems with spreadsheets, The Handbook of Financial Modeling is a one-stop resource for anyone who needs to build or analyze financial models.
Business.
Management science.
Business and Management, general.