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Waterfall Charts in Excel - Example and Limitations

What is a Waterfall chart? A waterfall chart is a great way to show variance analysis from one point to the other. These charts help easily visualize the drivers which are responsible for the change. For Example. how the profit or revenue of a company grew from one period to the other. They can...

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Data visualization with Excel Charts

What are Excel Charts? An Excel chart is a graphical representation of data. It helps provides an opportunity to tell a compelling story to the audience through data visualization. Data visualization helps to understand the data patterns and connections. It is important to focus on the...

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Basics of Accounting - With Examples

What is Accounting? Accounting is the process of systematically recording financial transactions in a business. It also involves summarizing, analyzing, and reporting the financial information to its stakeholders. Accounting in simple terms is the language of business. It is very important to...

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10 MOST USED FINANCIAL FUNCTIONS IN EXCEL

Excel is a tool most commonly used for data analysis, building financial models for efficient decision making. It is used by people with diverse back grounds (ie; bankers, analysts, professionals, students etc.). In excel there are a lot of inbuilt functions which can be used for quick data...

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Understanding Market Capitalization and Enterprise Value (EV) with Examples

What is Market Capitalization ? Market capitalization means the market value of equity shares of the Company. It is an important component of a Company’s valuation. It can be calculated as Share price multiplied by the total number of outstanding shares of the Company. Example: ABC Limited...

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Net Present Value - Definition, Formula, Calculation with Example

What is Net Present Value? Net present value is the difference between present value of cash inflows and present value of cash outflows. It is a technique used to evaluate potential investment decisions. Decisions could be for an investment in or replacement of a fixed asset, investment or...

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Understanding Business Valuation with simple example

“IF YOU WERE BORN POOR ITS NOT YOUR FAULT. BUT IF YOU DIE POOR ITS YOUR FAULT.”This is a famous quote from Bill Gates. Every one of us want to become rich. We may at times buy lottery tickets to test our luck… People also go to Casinos for gambling… to change their fortunes. I know many...

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Cash Flow Statement : Explanation and Example

What is Cash flow Statement? Cash flow statement is a statement reported by Corporates in their filings along with the Income Statement and the Balance Sheet. It is very important to understand the Cash flow statement but is often overlooked by investors and analysts. While the income...

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Total Shareholder Return - Definition & Explanation

Total shareholder return is rate of return earned by an investor by investing in stocks of Companies during the investment period. An investor investing in stocks makes money in two ways; First is the capital appreciation or loss from rise or fall in the share price of the Company. Second is...

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Fundamental Analysis vs Technical Analysis

Description : Understand the basic difference between fundamental and technical analysis of stocks to determine the quality of long-term investments Fundamental Analysis Fundamental analysis is done to identify the intrinsic value of an asset/ security. A fundamental analysis involves...

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