ROIC Excel Template This ROIC Excel Template will aid you in calculating the NOPAT and Book Value of Invested Capital, and from these elements calculate the period ROIC. Here is a snippet of the template: Download the Free Template Download CFI’s Excel template to advance your finance knowledge and perform better financial analysis. The ROIC…
Value Added Excel Template This Value Added Excel Template is a free tool provided by the Corporate Finance Institute. It will help you understand the important concept of Value added for Finance and Accounting. Here is a snippet of the template: Download the Free Template and take a look at an applied example of a…
Accounting Test This Accounting Test is designed to help you assess your knowledge of essential accounting principles and basic concepts. We strongly encourage any students who are planning or are beginning their FMVA certification program to take this test to determine whether you will need to take the prerequisite accounting courses, including Accounting Fundamentals and…
Investment Teaser Template This investment teaser template will help you summarize a potential sales process and highlight the unique selling points of the company. Here are the screenshots of the investment teaser template: Download the Free Template Enter your name and email in the form below and download the free template now! What is an…
The Forward Price-to-Earnings or Forward P/E Ratio The forward P/E ratio (or forward price-to-earnings ratio) divides the current share price of a company by the estimated future (“forward”) earnings per share (EPS) of that company. For valuation purposes, a forward P/E ratio is typically considered more relevant than a historical P/E ratio. What is the…
What is an Operating Budget? An operating budget consists of all revenues and expenses over a period of time (typically a quarter or a year) that a corporation, government (see the U.S. 2017 Budget), or organization uses to plan its operations. An operating budget is prepared in advance of a reporting period as a goal…
Profit Margin Template This Excel profit margin template will allow you to calculate the gross profit, EBITDA, operating, and net profit margins. Below is a preview of the Profit Margin Excel template: Download CFI’s Free Profit Margin Template Complete the form below to download our free Profit Margin template! Profit margin is a measure of a…
What is Economic Value Added (EVA)? Economic Value Added (EVA) is a measure based on the residual Income technique, which measures the return generated over and above investors’ required rate of return (hurdle rate). The metric serves as an indicator of the profitability of projects undertaken and its underlying premise consists of the ideas that…
What is NOPAT? NOPAT stands for Net Operating Profit After Tax and represents a company’s theoretical income from operations if it had no debt (no interest expense). NOPAT is used to make companies more comparable by removing the impact of their capital structure. In this way, it’s easier to compare two companies in the same…
What is a Due Diligence Report? This article outlines what a due diligence report should cover and what questions need to be answered with mergers and acquisitions. A due diligence report is sent as an internal memo to members of the executive team who are evaluating the transaction and is a requirement for closing the…
