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The financial model for your Company should integrate both historical “actual” numbers for 2017… 1 answer below »

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This assignment asks you to 1) complete your model in Excel, and 2) write up acompanion document that walks the reader through your work. You can usewhatever layout you wish in Excel. Just remember that you will have to eventuallycopy and paste the data into your final Freeman Report. To submit this assignment,your team should submit two (2) copies of the companion document in class andupload the Excel spreadsheet to our class Blackboard site.The Model:The financial model for your Company should integrate both historical “actual”numbers for 2017 through 2019 and forecasted figures for 2020 through 2022. Youmust forecast the income statement, statement of cash flows (which builds ondiscretionary cash flow), and balance sheet for your Company.We have had numerous discussions about how your Company’s Press Releases mayconsolidate the line items given in the SEC filings. These Press Releases often comeout several days (or more) before the SEC filings are available. For this reason, Ihave stressed that your model needs to be flexible enough to allow for updates offuture estimates to be easily based off of the consolidated items given in the PressRelease. The “down side” to this is that the Press Release may give you data that isvery coarse, in that there may be little detail as to what balance sheet or incomestatement line items will eventually be reported to the SEC in a 10Q or 10K. Yourclients, however, will want you to give an opinion on the earnings announcementbefore the detailed SEC filings are available.So, you have a decision to make. Should your model be based off of the detailed SECdata or based of the Press Releases?For this exercise, you CAN use the historical SEC data from the 10Q and 10Ks tobuild your model. This will let you analyze the detailed line items of each statement.Remember, however, that there is also a debate about what type of models are moresuccessful… those that get “caught in the weeds” with a lot of detail or those thatattempt to use broader cuts at the data. Your model will only be useful if you caneasily explain it to someone else – namely a client who is not as versed in equityanalysis.Attachments:8—Financial….pdf1111.xlsx

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