Data tables, as discussed in the earlier sections of this chapter, let you perform what-if analysis when you change one variable and explore the effect on a small handful of formulas or when you change two variables and explore the effect on a single formula. But this approach doesn’t work except in … [Read more...] about What-If Analysis with Scenario Manager in Excel
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What-If Analysis with Data Tables in Excel
Excel lets you easily create simple data tables that show how changing a formula input affects the formula result. You can, for example, build simple one-variable data tables that show how changing a single input value affects one or more formulas. And you can also create more com- plicated … [Read more...] about What-If Analysis with Data Tables in Excel
Using the Add-In Financial Functions in Excel
In addition to Excel’s 16 standard financial functions, Excel users also have access to another 42 add-in financial functions. Most business users of Excel won’t need these add-in functions, but if you perform much financial analysis with Excel—especially financial analysis of investments—you’ll … [Read more...] about Using the Add-In Financial Functions in Excel
Using the Standard Financial Functions in Excel
Excel provides 16 standard financial functions for making depreciation, loan payment, present value, future value, and rate of return calculations. To see which financial functions Excel provides or to see which arguments a function requires, choose the Insert menu’s Function command and then select … [Read more...] about Using the Standard Financial Functions in Excel
EasyRefresher: Applying Time Value of Money Concepts
The phrase “time value of money” must surely be one of the most used terms that people don’t really understand. Almost invariably, people who don’t know a discount rate from Adam use the term to explain or question any financial complexity. The irony—and most business school students and graduates … [Read more...] about EasyRefresher: Applying Time Value of Money Concepts
Analyzing Multifamily Real Estate Investments
Analyzing multifamily real estate investments is challenging because such analysis requires both complicated tax and financial calculations. To show clients and others how this analysis is supposed to work, our firm created a simple starter Excel workbook. You can download the multifamily real … [Read more...] about Analyzing Multifamily Real Estate Investments