Solution Matrix • Cost-Benefit-Analysis

The Complete Financial Metrics Resource: Tutorial, Usage Guide, Templates, and Handbook

Financial Metrics ProIt's about time!

Saving your time, that is. Financial Metrics Pro™ is a comprehensive set of easy to understand, easy to use spreadsheet templates and working examples.

Newly enhanced and upgraded to V3! This new template system can save you hours or days of  tedious spreadsheet programming and reduce the risk of errors at the same time.

For those working with ROI, NPV or other financial analyses for the first time, Financial Metrics Pro is a clear, easy to follow introduction to frequently used financial metrics: What they mean, how they are used, and how to build them into your own spreadsheets.

Financial Metrics Pro is also a comprehensive handbook and reference for professional analysts, students, consultants, managers, and everyone else who works with the business case or financial statement figures. It  explains and shows you how to implement:

              • ROI and Other Cash Flow Metrics
                Business case cash flow statements, with working examples of NPV, IRR, CAGR, ROI, breakeven, and dozens more. 
              • Financial Statement Metrics
                Income statement, balance sheet and other financial statements, with 6 categories of important financial ratios, multi year comparisons, and a working DuPont analysis system.

Each financial metric is defined and its meaning explained. The best methods for spreadsheet implementation and graphing are illustrated. The strengths and weaknesses of each financial metric are also explained, along with any special programming issues.

Abundant on-screen guidance helps ensure that you choose the financial metrics you need and build them easily into your own spreadsheet models and analyses. Financial Metrics Pro supports many different business case styles, but it is designed especially to complement the standard approach to financial modeling, set by the companion tool, Financial Modeling Pro, and as presented in Business Case Essentials and The Business Case Guide.

Financial Metrics Pro is delivered in a single MS Excel workbook with 25 worksheets. All worksheets except the Users Guide can be  modified as necessary, copied, and pasted into your own spreadsheets.

Financial Metrics Pro V3 is available in versions for Excel 97-2003 and for Excel 2007. Registered as e-book ISBN 978-1-929500-07-9.

What's new in Financial Metrics Pro V3?

  • Hyperlink navigation throughout. Table of contents, chapter outlines, and cross-referenced terms take you to the reference with a mouse click.
  • "Everything you wanted to know about IRR but were afraid to ask." Expanded and enhanced chapter on IRR explains in clear terms what IRR really means, how the IRR metric can be misused, and how it compares to the cost of debt, NPV, ROI, and other financial metrics.
  • New, alternate approaches to many metrics. Implement payback period calculation , for instance either as a single cell formula, or use the simpler, easier-to-proofread approach with intermediate results.
  • Expanded and improved Users Guide, with an emphasis on the essential characteristics of cash flow metrics and financial statement metrics.
  • Special chapter on good practice in spreadsheet programming. Techniques that add credibility, usability, and professional appearance to spreadsheet models.
  • Special chapter on naming cells and ranges (Excel 2007 version, only). An illustrated tutorial on naming. Make your formulas easier to read and check by assigning names for cells and ranges.

shoppingcart_Excel2003_A.jpg

shoppingcart_Excel2007_A.jpg

 

 

Marty J. Schmidt, President, Solution Matrix Ltd. Author of Business Case Essentials.


About the author, Marty J.Schmidt
President, Solution Matrix Ltd.

 

Financial Metrics Pro
    For Excel 97-2003, Buy for US $65  /  For Excel 2007-2010, Buy for US $65

Financial Metrics Pro  Package + Financial Modeling Pro
    For Excel 97-2003, Buy for US $98  /  For Excel 2007-2010, Buy for US $98  

Financial Modeling Pro + Financial Metrics Pro
+ Business Case Guide eBook + 
Business Case Essentials eBook
   For Excel 97-2003, Buy for US $198 / For Excel 2007-2010, Buy for US$198

Register for a business case seminar and receive a full product refund!

Financial Metrics Pro ROI NPV IRR and other metrics

Financial Metrics Pro V3  Contents

Chapter 1.  Users Guide
•  Introduction to financial metrics
•  Cash flow metrics vs. financial statement metrics
    – Cash flow metrics
    – Financial statement metrics
•  Financial Metrics Pro purpose
•  Using the examples
    – Color code
    – Unlocking cells and modifying worksheets
    – Copying to other spreadsheets / breaking links
    – Adding or deleting cells, rows, or columns
    – Names for cells and cell ranges

Cash Flow Metrics

Chapter 2.  Cash Flow
•  Cash flow
•  Cash flwo vs. income and cost
•  Business case cash flow statements
•  Business case vs. financial accounting
    – Full value vs. incremental cash flow
    – Inflows vs. outflows
    – Other statement structures
•  Graphing cash flow

Chapter 3.  Cumulative Cash Flow for the Business Case
•  Cumulative cash flow
•  Cumulative cash flow vs. payback
•  Spreadsheet example: cumulative cash flow
•  Estimating payback from cumulative cash flow

Chapter 4. Payback Period
•  Payback period from net cash flow
•  Spreadsheet examples:  Payback from net cash flow
     – Example: 5 yrs, net cash flow
     − Example: 10 yrs, net cash flow
•  Payback from discounted cash flow
     – Example 5 yrs, discounted cash flow
     – Example 10 yrs, net cash flow
•  Spreadsheet examples:  Payback from simpler formulas and intermediate results
•  Payback period from graphs
•  Payback period strengths, weaknesses, and cautions
•  Discounted vs. non discounted payback
•  Mathematical basis for the payback calculation

Chapter 5. Discounted Cash Flow (DCF) and Net Present Value (NPV)
•  Present value from a single cash flow event
•  Net Present Value (NPV)
•  Spreadsheet example: Present value for a single cash flow event
•  Present value in algebraic terms
•  Choosing an interest rate for discounting
•  Present value from a cash flow stream
     – Spreadsheet example: NPV with year-end discounting
     – Spreadsheet example: NPV with mid-year discounting
     – Spreadsheet example: NPV with semiannual, quarterly, or monthly discounting
•  Using Excel's built in NPV function
•  NPV strengths, weaknesses, and cautions
•  Graphing net and discounted cash flow

Chapter 6. Compound Interest / Future Value
•  Compound Interest
•  Future value of a single cash flow event
•  Spreadsheet example: Future value of a single cash flow event
•  Future value in algebraic terms
•  Future value over a series of compounding periods (single cash flow event)
•  Spreadsheet examples:
     – FV with annual compounding
     – FV with compounding semiannually, quarterly, monthly, or daily (single cash flow event)
•  Continuous compounding
•  Compounding periods compared
•  Future value of an annuity
     – Spreadsheet example: fixed annuity
     – Excel's built in FV function
     – Spreadsheet example: FV for multiple cash flow events, variable amounts
       (including variable annuity)
•  Graphing compound interest growth

Chapter 7. Cumulative Average Growth Rate (CAGR)
•  Calculating cumulative average growth rate
•  Spreadsheet example: calculating CAGR
•  CAGR in algebraic terms
•  CAGR strengths, weaknesses, and cautions
•  CAGR example

Chapter 8. Return on Investment (ROI)
•  Return on Investment (ROI)
•  Simple ROI in algebraic form
•  Spreadsheet example: Simple return on investment (ROI)
•  Spreadsheet example: Simple return on investment:
•  Spreadsheet examples: Simple return on investment from cash flow
     – Simple ROI using intermediate results
     – Simple ROI using a single cell formula
•  ROI strengths, weaknesses, and cautions

Chapter 9. Internal Rate of Return (IRR)
•  Internal rate of return (IRR)
•  Internal rate of return (IRR) from a cash flow stream
•  Spreadsheet example: Excel's built in IRR function
     – Note on MIRR results
•  Modified internal rate of return (MIRR)
•  Spreadsheet example: Excel's MIRR function
     – Note on MIRR results
•  IRR strengths, weaknesses, and cautions
•  Graphical solution for IRR
•  IRR vs NPV vs ROI vs Cost of Debt. What does IRR really mean?
     – IRR: It's about recovering the cost of investing
     – IRR vs NPV
     – IRR vs NPV vs ROI
     – When IRR refuses to behave

Chapter 10.  Breakeven Analysis
•  Breakeven analysis
•  Simple breakeven analysis
     – Simple breakeven in algebraic terms
     – Spreadsheet example: Simple breakeven
     – Graphing breakeven analysis
•  Breakeven analysis with semi variable input (nonlinear breakeven)
     – Spreadsheet example: semi variable input
     – Mathematical basis for semi variable input analysis
     – Intermediate results for semi-variable input analysis
     – Graphing breakeven with semi-variable input

Financial Statement Metrics

Chapter 11. Introduction to Financial Statement Analysis 
•  Financial statement analysis
•  Interpreting financial statement metrics
•  Categories of metrics

Chapter 12. Income Statement
•  The income statement
•  Basic income statement equation
•  Income statement terms
•  Level of detail
•  Nonprofit organizations
•  Spreadsheet example: Income statement
•  Spreadsheet example: Income statement

Chapter 13. Balance Sheet
•  The balance sheet
•  Basic balance sheet equation
•  Balance sheet terms
•  Level of detail
•  Spreadsheet example: Balance sheet

Chapter 14. Changes in Financial Position (Cash Flow Statement)
•  Changes in financial position
•  Basic statement of changes in financial position equation
•  Spreadsheet example: Statement of changes in financial position

Chapter 15. Statement of Retained Earnings
•  Statement of retained earnings:
•  Basic retained earnings equation
•  Spreadsheet example: Statement of retained earnings

Chapter 16. Liquidity Metrics
•  Liquidity metrics
•  Liquidity metrics: General approach and set up data
•  Working capital
•  Current ratio (working capital ratio)
•  Quick ratio (acid test ratio) 

Chapter 17. Activity and Efficiency Metrics
•  Activity and efficiency metrics
•  General approach and set up data
•  Sales revenue per employee
•  Inventory turns
•  Days sales in inventory (average turnover period)
•  Accounts receivable turnover
•  Average collection period (days sales outstanding)
•  Total asset turnover
•  Fixed asset turnover

Chapter 18. Leverage Metrics
•  Leverage metrics: creditors vs. owners
•  General approach and set up data
•  Total debt to total assets ratio
•  Debt to equity ratios
•  Total debt to stockholders equity
•  Long term debt to stockholders equity
•  Times interest earned

Chapter 19. Profitability Metrics
•  Profitability metrics
•  General approach and set up data
•  Profit margin on sales
•  Operating profit margin 
•  Operating profit before taxes
•  Operating profit after taxes
•  Gross profit margin or gross margin
•  Return on total assets
•  Return on equity or return on owner's investment, or return on investment

Chapter 20. Valuation Metrics
•  Valuation metrics
•  General approach and set up data
•  Spreadsheet examples
•  Price to earnings ratio
•  Book value per share
•  Book value per share, common stock
•  Book value per share, preferred stock
•  Market-to-book ratio

Chapter 21. Multi Year Financial Statement Analysis
•  Multi-Year Comparisons
•  Four financial statements
•  Making multiyear comparisons
•  Spreadsheet set up and data
     – Multi year income statement
     – Multi year balance sheet
     – Multi year statement of retained earnings
     – Multi year changes in financial position
•  Multi year financial metrics and graphs
     – Liquidity Metrics: 1-10 year comparisons
     – Activity Metrics: 1-10 year comparisons
     – Leverage Metrics: 1-10 year comparisons
     – Profitability Metrics: 1-10 year comparisons
     – Valuation Metric (EPS): 1-10 year comparisons

Chapter 22. Growth Metrics
•  Growth metrics
•  General approach
•  Spreadsheet examples: growth metrics
     – Sales growth
     – Net income / profit / earnings growth
     – Earnings per share growth
     – Dividends per share growth

Chapter 23. The DuPont System
• The DuPont system of analysis: Return on investment
   (return on assets)
•  Spreadsheet example: DuPont system

Spreadsheet Programming

Chapter 24. Good practice in spreadsheet programming 
•  Good practice in spreadsheet programming
•  Take time to format
•  One file, many worksheets
•  Highlight user input and derived results
•  Proofread and check formulas
•  Prevent division by zero and other errors
•  Use intermediate results

Chapter 25. Naming cells and Ranges (Excel 2007 version only)
•  Naming cells and ranges
•  Two ways to name cells
•  Using names in formulas
•  Assigning and using range names - rows
•  Assigning and using range names - columns
•  Descriptive names for worksheets

Financial Metrics Pro (ISBN 978-1-929500-07-9)
    For Excel 97-2003, Buy for US $65  /  For Excel 2007-2010, Buy for US $65

Financial Metrics Pro  Package + Financial Modeling Pro
    For Excel 97-2003, Buy for US $98  /  For Excel 2007-2010, Buy for US $98  

Financial Modeling Pro + Financial Metrics Pro
+ Business Case Guide eBook + 
Business Case Essentials eBook
   For Excel 97-2003, Buy for US $198 / For Excel 2007-2010, Buy for US$198

shoppingcart_Excel2003_A.jpg

 

shoppingcart_Excel2007_A.jpg

<< Business Case Essentials, 3rd ed.

Getting your budget approved >>

Financial Metrics Pro

Financial Metrics Pro

Financial Analysis,
Investment Analysis, & Key Performance Metrics, in a Spreadsheet Package.

Tutorials and best-practice usage guides side by side with templates and working examples.

Over 150 of the most important cash flow metrics, financial ratios, and other financial analysis tools, synchronized with a complete set of related financial statements.

Download Today!
Current release: 3.00

Financial Metrics Pro, eBooks, and packages are

  • Registered to one individual
  • Downloaded from the internet
  • Backed 100% by the
    No-Hassle Guarantee
  • Available for Excel 97-2003 and Excel 2007-2010

Financial Metrics Pro
   Item No 400
   For Excel 97-2003, US $65
   For Excel 2007-2010, US $65

Financial Modeling Pro

Financial Metrics Pro

Financial Model Building Tutorial, Examples, & Templates in a Spreadsheet Package.

Step by step guidance for building the financial model at the heart of the business case. Includes model design strategy, best practice spreadsheet programming, designing for usability, and the dynamic model for risk and senitivity analysis.

Click for an overview.

Financial Modeling Pro
   Item No 212
   For Excel 97-2003, US $65
   For Excel 2007-2010, US $65

Business Case Building Packages

Business Case Guide eBook
+ Business Case Essentials ebook
+ Financial Metrics Pro
+ Financial Modeling Pro

   Package No 490
   For Excel 97-2003, US $198
   For Excel 2007-2010, US $198

Financial Metrics Pro
+ Financial Modeling Pro

   Package No 710
   For Excel 97-2003, US $98
   For Excel 2007-2010, US $98

Business Case Guide eBook
+ Business Case Essentials
&eBook

    Package No 420
    For US $99

The Best Selling Authority on Business Case Analysis

Business Case Essentials, 3rd Ed

The concise, complete guide to what belongs in a business case and why. The trusted authority on business case analysis assumes no prior background in finance or business planning. Essentials provides clear, practical, step-by-step guidance for building a compelling business case. Special focus on

  • Financial metrics including Retun on Investment (ROI), NPV, and total cost of ownership (TCO).
  • Non financial benefits.
  • Measuring / minimizing risk.
  • Real world examples from industry, government, and non profit settings.

Order the printed edition online. Or, download the e-book today.

The No-Hassle Guarantee

Our goal is to reduce risk in business, not raise it. We believe that a decision to try the Business Case Guide, Business Case Essentials, the Definitive Guide to Getting Your Budget Approved, Financial Metrics Pro, or Financial Modeling Pro should be risk-free. Solution Matrix Ltd. stands behind them with a 30-day "no hassle" guarantee. If for any reason you wish to return the purchase, simply let us know within 30 days of your order that you have destroyed all copies of the product in your possession, in electronic or any other form, and you will receive a prompt refund of the full purchase price. No problem, no hassle!

The Solution Matrix site is

SecurityMetrics for PCI Compliance, QSA, IDS, Penetration Testing, Forensics, and Vulnerability Assessment

Credit Card Processing

Official PayPal Seal