Financial Modelling Handbook

Topic

Q&A

In these Q&A posts, I answer questions from Handbook readers and financial modelling course students

Q&A: What are some of the ways to upstream cash?

Hi Kenny, so what are some ways to upstream cash when there is that cash trap due to the difference between net income and cash flows? Jason Hi Jason, There are a few options that are typically used. These methods are common in Project Finance especially. 1. Shareholder loan. Putting

Q&A: What does "arms-length interest rate" mean in the context of thin capitalisation?

Please could you explain the meaning of a "reasonable arms-length interest rate" test and how this differs to other possible tests? I can't see this detail covered anywhere. Many thanks in advance. David Hi David. Thanks for the question. Let me start by saying I'm not a tax expert or

Q&A: Why does copy across stop?

Hi Kenny, I can successfully create links for "Compound degradation" and "seasonality adjustment". However, in both cases, when I click Ctrl + Shift + a, the macro only copies across the next two columns (which are the constant and unit columns). When I enter the formula for electricity generation and use Ctrl

Q&A: How do I prevent the review tool from turning my model green?

Hi Kenny, First of all thanks a lot for this great course, already of great help in better understanding and reviewing models! I have a practical question, when using comments mine are turning the cell bright green (placing a comment with Ctrl + Alt +q). Is there a way to avoid

Q&A: Why does my balance sheet not balance when I introduce an RCF balance?

Hello, I thank you very much for your work teaching us with great precision the financial modelling tools. I have a question : The initial RCF balance is currently 0 in the model, but if I put an initial RCF balance of 10,000, then it will have an imbalance on

Q&A: Alternative formula for compound degradation

Hello there, My understanding of degradation is that the first year we operate at 100% capacity and then we loose each year the percentage capacity that is in cell F10. If this is correct i came up with another formula: J12*(1-(J11-1)*$F$10) So this basically is the

Q&A: How to insert a copied row in Excel

"You used ctrl+x to cut the Annual Real O&M cost input from the bottom of the sheet, how do you go about pasting this in above?" - Angus

Q&A: How to customise formats on macro keystrokes.

Hi there! Thank you for sharing this and giving us options to change keystrokes. However, I'm wondering if it's possible to change color code? For example, I would like my numbers imported from other worksheet to be green. I guess I only need to change color code in the Macro

Q&A: Ctrl+z undo after using macros / Excel Calculations no longer work / Selecting cells

Hi, I would like to know why my undo shortcut (ctrl + z) is not working after doing the ctrl + shift + A. Is it because it's working as a macro so undo shortcut wouldn't work afterwards? Is there any solution to that? Thank you! Weile Hey Weile. Yes - there is

Q&A: What to do if Control+Shift+0 is not working to unhide columns

We like to be able to hide unused columns at the end of the model timeline. If we need to change the timeline we want to be able to easily unhide columns again. The Excel keystroke to unhide columns is Ctrl+Shift+0. Many users find that this does not