Integrated Financial Statement Model

This is possibly the most valuable process you can learn as an aspiring financial analyst. It is the foundation upon which all thorough analysis is built. 

001 Feb 09, 2015 Three Statement Model Overview

This video runs slightly longer than 4 minutes and briefly describes the process of building an integrated financial statement model. It is an easier process to grasp if thought of as a series of steps. Knowing the steps will also provide the benefit of measuring your progress as you watch the longer instructional video and build your own model.

Get Started » 002 May 12, 2017 Three Statement Model Part I

This is the first instructional video in the “Integrating Financial Statements” series. The video will guide you through the process of using two years of historical income statement data and balance sheet data to build a fully integrated model. In my opinion this is the most important thing to understand if you want to build a strong model building skill-set. 

Get Started » 003 May 12, 2017 Three Statement Model Part II

This is a continuation of the previous video. Whereas the first video focused on historical data, the income statement and the balance sheet, in this video we will focus on the cash flow statement and supporting schedules.

Get Started » 004 Oct 16, 2013 Broken Models & Circular References

Circular references are frequently responsible for crashing financial models. This video will explain how they work, and how to fix your model by focusing on the most common circular reference error found in financial models: the interest expense circularity.

Get Started » 005 Feb 05, 2016 Balancing the Model

Balancing a financial model can be a frustrating experience. This video will walk through the most common errors made, and how to fix them quickly.

Get Started » 006 Mar 10, 2016 Exercise: Building the Model

This video introduces a model building exercise. The concept was introduced by a professor at a nearby university who uses ASM to introduce students in his Corporate Finance class to financial models. What follows is a variation of his assignment. It will challenge you to build a model on your own, and think through the variables as you do. (Template available for download.)

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007 May 20, 2017 Three Statement Model: Scenarios

In this video we will revisit the three statement model, and begin incorporating additional flexibility with new inputs and scenario options.

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008 Nov 06, 2015 PP&E Schedule

This video introduces a more advanced Property Plant & Equipment supporting schedule, which is important as your models increase in complexity. The video also focuses on how to efficiently delete an old supporting schedule and integrate a new one.

Get Started » 009 Jun 02, 2017 PP&E Schedule Options

In this video we will explore several different options for PP&E schedules. The video also touches on several new topics including the Half-Year Convention and an accelerated depreciation method known as the Sum of the Years' Digits. 

Get Started » 010 Jun 18, 2017 Dividends in a Financial Model

This video explains how to update a three statement model to include cash dividends. Two examples are provided. 

Get Started » 011 Aug 18, 2015 Projecting Stockholders' Equity

This video is focused on projecting stockholders' equity for the Home Depot (NYSE: HD). 

Get Started » 012 Jun 15, 2018 Flow Through Questions

In this video we explore how an increase in depreciation expense impacts the three financial statements. The notes will explore this same question for a variety of additional topics.

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