Depreciation schedule in Excel: connect capex, depreciation and net PP&E
Build a three-year property and equipment schedule in Excel: a cohort table for the charge, roll-forwards for gross and accumulated, and the checks.
THE FINX JOURNAL LEARN BY DOING
Financial modelling
Understand how a model fits together, follow its connections and practise finding the mistakes behind the numbers.
In this topic
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WACC formula: assemble and audit the discount rate
Assemble Northgate's WACC in Excel from a transparent, cell-by-cell assumptions table, cross-check it two ways, and see how a 0.37-point error moves a terminal value.
Interest coverage ratio: calculate it and explain what changed
Calculate three years of interest coverage on a fictional borrower, compare EBIT and EBITDA conventions, run a downside and reconcile the interest figure to the debt schedule.
Terminal value formula: compare perpetual growth and exit multiples
Calculate terminal value both ways on one fictional forecast, discount each correctly to today, and expose the implied growth rate and implied multiple hiding inside your assumption.
Unlevered free cash flow: bridge EBITDA to cash
Reconcile EBITDA to unlevered free cash flow in one worked example, cross-check it with a tax-shield shortcut, and see how the levered figure differs.
Enterprise value vs equity value: build the valuation bridge
Work out what each measure values, classify debt, cash and other claims, and bridge between enterprise value and a per-share equity value with checked answers.