Archive for the ‘accounting’ Category
Welcome to My Accounting Laboratory: Today’s Experiment is Outsourcing
Wash your hands and put your lab coat on. Today’s experiment: Outsourcing an income tax return.
Outsourcing was presented to me as a cost savings alternative: wages in India are comparatively low to wages in the U.S. So, I’ve tried outsourcing with QuickBooks accounting and I’ve been pleased. Cost savings do result.
But what I discovered is that I am also saving time. And I have even less time than I do money (as for lack of money, I think that has something to do with having two teenagers and an eleven year old…)
And I can use more time very productively: marketing, meeting with my best clients, staff training, going to the beach more often, etc.
But outsourcing tax returns? Read the rest of this entry »
No CommentsFinancial Modelling
FINANCIAL MODELING
Financial modeling is a process of forecasting performance of a certain asset, using relationships among operating, investing, and financing variables. The central aim of all financial modeling is valuation under uncertainty: how to estimate the value of a security when its future trajectory, or the trajectory of the other securities or economic variables it depends on, is unknown. Usually, financial modeling requires a great deal of spreadsheet work.
Financial Modeling Application
ü Business valuation, especially discounted cash flow
ü Cost of capital or WACC
ü Modeling the term structure of interest rate and credit spread
ü Option pricing
ü Real options
ü Risk modeling
ü Portfolio problems
No Comments