You're reading from Hands-On Financial Modeling with Excel for Microsoft 365 - Second Edition

Product type Book

Published in Jun 2022

Publisher Packt

ISBN-13 9781803231143

Pages 346 pages

Edition 2nd Edition

Languages

Concepts

Financial Technology

Author (1):

Shmuel Oluwa

Table of Contents (19) Chapters

Preface

1. Part 1 – Financial Modeling Overview

2. Chapter 1: An Introduction to Financial Modeling and Excel

3. Chapter 2: Steps for Building a Financial Model

4. Part 2 – The Use of Excel Features and Functions for Financial Modeling

5. Chapter 3: Formulas and Functions – Completing Modeling Tasks with a Single Formula

6. Chapter 4: Referencing Framework in Excel

7. Chapter 5: An Introduction to Power Query

8. Part 3 – Building an Integrated 3-Statement Financial Model with Valuation by DCF

9. Chapter 6: Understanding Project and Building Assumptions

10. Chapter 7: Asset and Debt Schedules

11. Chapter 8: Preparing a Cash Flow Statement

12. Chapter 9: Ratio Analysis

13. Chapter 10: Valuation

14. Chapter 11: Model Testing for Reasonableness and Accuracy

15. Part 4 – Case Study

16. Chapter 12: Case Study 1 – Building a Model to Extract a Balance Sheet and Profit and Loss from a Trial Balance

17. Chapter 13: Case Study 2 – Creating a Model for Capital Budgeting

18. Other Books You May Enjoy

Relative referencing

Relative referencing is the default type of referencing in Excel. A reference is relative because when it is included as part of a formula that is copied to another location, the column and row of the reference will change by the same amount, relative to the position of the cell to which the formula is being copied.

Rather than type in values directly into cells, you should type the value in another cell and then enter the cell references of the cells containing the values, as shown in the following screenshot:

Figure 4.3 – The formula with the cell references

Entering the cell references rather than the values in the cells being referred to does not change the result of the formula. The only thing that changes is that you are now seeing cell references rather than values in the cells with formulas. However, when you decide to copy the formula to another location, the rules governing cell referencing come into play. Instead of...