MBA's Guide to Microsoft Excel

Capital budgeting and investment analysis require that you forecast pretax and after- tax cash flows based on both holding and disposing of each asset or investment. Fi- nancial measures of profitability and liquidity are applied to these cash flows. The cash flow forecast and analysis starter workbook (CASHFLOW.XLS) described in this chapter pro- vides a framework for forecasting pretax and after-tax cash flows, internal rates of return, internal rates of return adjusted for reinvestment of interim cash flows, net present values, and payback periods. You should find this starter workbook useful for cash flow forecasts for both capital assets and financial investments. This chapter shows how to use the cash flow forecast and analysis starter workbook, print it, modify it, and combine it with sub- sidiary spreadsheets.

Chapter Contents:

• EasyRefresher: Cash Flow Forecasting and Analysis
• Using the Cash Flow Forecast and Analysis Starter Workbook
• Understanding the Starter Workbook’s Calculations
• Customizing the Starter Workbook