The Art and Science of Financial Modeling

Index

Accelerated depreciation, 30

Amortization

cash-flow statement and, 33

definition of, 32

income statement, 33–34

Balance sheet

debt and interest, 44–45

definition of, 5

depreciation and, 32

equity schedule and, 40

Bottom-up approach, 10

CAPEX. See Capital expenditures

Capital expenditures (CAPEX), 5

Cash flow, 5

Cash-flow-at-risk (CFaR) models

calculation methodology, 101–102

concept, 95

decision making, strategic level, 100–101

definition of, 95–96

illustration of, 97

impact on liquidity, 98

mapping across interdependent paths, 103–104

rationale, 96–97

risk matrix and constituents, 98–100

Cash-flow statement

amortization and, 33

depreciation and, 31

equity schedule and, 39

Circularity, 49–50

COGS. See Cost of goods

Cost of goods (COGS), ...