M&A On-Line Courses and Exercises

 

Innovations in Corporate Finance Theory

Some of the innovations in Corporate Finance Theory on this website include:

  • Solution to IRR problem of re-investment and ranking with Weighted Average IRR
  • Computing Cost of Capital with Market to Book Regression Rather than CAPM
  • Demonstration of Flaws in Value Driver Formula: V=Income x (1-g/ROI)/(COC-g)
  • Correct Evaluation of WACC using Tax Shield from Interest Expense
  • Use of Credit Spread to Derive Debt Beta and More Properly Derive Unlevered Beta
  • Evaluation of Terminal Value Adjustments for Capital Expenditures, Working Capital and Deferred Tax that Depend on Growth
  • Adjustments to Free Cash Flow and EV to Enterprise Value Bridge for Deferred Tax, Warranty Cost and Other Items
  • Development of Terminal Valuation Techniques for Financial Institutions that Use Market to Book Ratio and ROE from Financial Models
  • Evaluation of Political Risk Premiums from Computing Implied Probability of Default

Innovations in Corporate Modelling

You will also find a lot of innovations in corporate modelling.  These include:

  • Use of Historic Switch to Make Incorporation of New Financial Statements
  • Evaluation of ROIC and Invested Capital Using Switches and SUMPRODUCT
  • Development of INTERPOLATE Function to Evaluate Assumptions
  • Automation of Scenario Analysis with Scenario Reporter
  • Effective Automation of Historic Data Graphs with Flexible Spinner Box
  • Resolution of Circular References Related to Interest Expense and Taxes
  • Deprecation Techniques that Account for Changing Growth and Implied Retirements
  • Development of Techniques to Automate Constant Capital Structure in Financial Models
  • Dynamic Goal Seek Functions for Evaluation of Cost of Capital Using P/E Ratios
  • User Defined Functions for Computing Stable Capital Expenditures to Depreciation and Other Items

Innovations in Corporate Data Analysis

  • Creation of techniques to download stock price data, financial statement data and economic data
  • Stock price database that allows you to evaluate IRR’s, volatility and beta for stocks, stock price indices, economic series and commodity prices.
  • Financial Database that allows you to extract and evaluate financial data, financial ratios, and cost of capital across companies.
  • Extraction of Data that Enables you to have Historic Basis for Creating Financial Models.
  • Interest Rate, Exchange Rate and Commodity Price Databases that Include Historic Evaluation of Term Structures, Volatility and Other Statistics.
  • Comprehensive Country by Country Database to Evaluate Growth and Risks Across the World.