Balance sheet and P&L simulation

Top Ten Concerns of CFO’s – May 2009

Top Ten Concerns of CFO’s – May 2009

A poll of more than 1200 senior finance executives by CFO Europe together with Tilburg and Duke University ranks the ten top external and internal concerns. High in all regions we find as external concerns; consumer demand, interest rates, currency volatility and competition.

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The Probability of Bankruptcy

The Probability of Bankruptcy

This entry is part 3 of 4 in the series Risk of Bankruptcy

A good metric should have a low probability of rejecting a true hypothesis of bankruptcy (false positive) and a high probability of rejecting a false hypothesis of bankruptcy (false negative).

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Predicting Bankruptcy

Predicting Bankruptcy

This entry is part 2 of 4 in the series Risk of Bankruptcy

The Z-score formula for predicting bankruptcy was developed by E. Altman. The score is not intended to predict when a firm will file for bankruptcy, It is a measure of how closely a firm resembles other firms that have filed for bankruptcy.

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The Risk of Bankruptcy

The Risk of Bankruptcy

This entry is part 1 of 4 in the series Risk of Bankruptcy

Historic growth is usually a risky estimate for future growth. To be able to forecast a company’s future performance you have to make assumptions on the future most likely values ….

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The weighted average cost of capital

The weighted average cost of capital

This entry is part 1 of 2 in the series The Weighted Average Cost of Capital

The weighted cost of capital and the return on invested capital are the most important elements in company valuation, and the basis for most strategy and performance evaluation methods …

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The advantages of simulation modelling

The advantages of simulation modelling

This entry is part 6 of 6 in the series Monte Carlo Simulation

All businesses need the ability to, if not predict the future; assess what its future economic performance can be …

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