Top 8 VBA Routines for Excel Reporting The article below showcases eight VBA routines for Excel reporting, which you can start using immediately to supercharge your Excel reporting tasks. VBA’s been around for as long as most of us care to remember, and there are certain tasks where using VBA still rules. The routines below…
What is a Ballpark Figure? A ballpark figure is a close estimate of the actual value of a variable. It is typically computed using a simple approximation instead of going about the actual computation process, which is more complicated. Ballpark figures provide a reasonable estimate when more sophisticated tools, such as spreadsheets, are…
What is a Non-Elective Contribution? A non-elective contribution is a fully-vested payment made by an employer to an employee-sponsored retirement plan, regardless of whether the employee makes an elective deferral. The contributions are not deducted from the employee’s monthly income but are paid directly by the employer. Non-elective contributions differ from matching contributions,…
What is a Nonforfeiture Clause? A nonforfeiture clause is an element included in standard life insurance and long-term care insurance. It stipulates that the policyholder will receive a partial or full refund of premiums paid if the policy lapses after a defined period due to missed premium payments. The nonforfeiture clause may also become available…
What is At The Money (ATM)? At the money (ATM) describes a situation when the strike price of an option is equal to the underlying asset’s current market price. It is a concept of moneyness, which describes the position between the strike price of an option and the market price of the underlying asset. A…
Performing a DCF Analysis (infographic) This DCF analysis infographic walks you through the process, step by step, of how to build a discounted cash flow (DCF) model to value a business. A discounted cash flow model takes into account all the factors that could affect a company’s current and future performance. The performance equates…
What is Accretion Dilution Analysis? Accretion and Dilution refer to a simple test that determines the impact of an acquisition or merger on the buying firm’s Earnings per Share (EPS). Accretion Dilution analysis helps the acquirer (buyer) weigh the consequences of the merger, incorporating all factors and complexities. Image from CFI’s M&A financial modeling…
What is Merger Consequences Analysis? Merger consequences analysis is important for assessing the impact of an M&A transaction. When the leadership/owners of a sufficiently sized company are pitched a merger or acquisition proposal, the company needs to take into consideration the financial impact that the transaction may have on the acquirer’s pro forma financial position….
What is an Asset-Backed Commercial Paper (ABCP)? An asset-backed commercial paper (ABCP) is a type of commercial paper that is collateralized by financial assets. Commercial paper is a short-term monetary-market debt instrument with a maturity of no more than 270 days. It is usually issued by a large corporation or financial institution to pay for…
Business Valuation Framework Over the years, I’ve spent a lot of time thinking about and working on business valuations across a broad range of transactions. Given that I’m a visual learner, I thought it would be helpful to illustrate my thoughts in a diagram with the valuation infographic. Top Down vs. Bottom Up As I…
