Financial Modeling in Excel

What Is Financial Modeling Using Excel?

Financial modeling using Excel is a skill used by financial analysts to evaluate investment opportunities and corporate transactions such as mergers and acquisitions. The use of Excel to build a financial model is a common practice in finance. It involves building a forecast, projecting a company’s cash flow into the future, and discounting it back to the present value. Many formulas and functions in Excel are used to build models.

Example Excel Model

Below is a screenshot from one of CFI’s online analyst training and certification courses.  To how how to build an excel model step-by-step, click on the image below.

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Additional Questions and Answers

CFI is a the official global provider of financial modeling and valuation analyst FMVA Designation. CFI's mission is to help anyone become a world-class financial analyst and has a wide range of resources to help you along the way. In order to become a great financial analyst, below are some additional questions and answers for you to explore further:

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