Calculating Financial Leverage Brad Ryan, March 11, 2025 The process of calculating financial leverage assesses the degree to which a company uses debt to finance its assets. This measurement, often expressed as a ratio, reveals the proportion of a firm’s capital structure attributable to borrowed funds rather than equity. High ratios can amplify returns but also heighten financial…
Excel Calculating Percentage Increase Brad Ryan, March 9, 2025 The process of determining the proportional change between two values in Microsoft’s spreadsheet program is a common requirement for data analysis. Specifically, excel calculating percentage increase allows for easy comparison of metrics over time or between different categories. An example might be showing the growth in sales from one quarter…
Calculating Mode In Excel Brad Ryan, December 27, 2024 The way Microsoft Excel processes formulas and updates cell values, often referred to as its operational setup, is a critical aspect of spreadsheet functionality. Understanding Excel’s calculation setting ensures data integrity and accurate results, especially when working with complex models or large datasets. This setup significantly impacts performance and resource…
Calculating Net Working Capital Brad Ryan, November 6, 2024 The process of calculating net working capital involves determining the difference between a companys current assets and its current liabilities. For example, a business possessing $200,000 in current assets (cash, accounts receivable, inventory) and $100,000 in current liabilities (accounts payable, short-term debt) has a net working capital of $100,000. Effective…
Calculating Irr In Excel Brad Ryan, October 30, 2024 Determining the Internal Rate of Return (IRR) within Microsoft Excel is a frequent task in financial analysis. This process involves using Excel’s built-in functions to ascertain the discount rate that makes the net present value (NPV) of all cash flows from a project equal to zero. This is a vital…
Calculating Formal Charge Brad Ryan, October 20, 2024 Determining the distribution of electrons within a molecule or ion requires understanding how to assess charge assignment to individual atoms. One method to achieve this is through a process that allows scientists to approximate the electronic structure and predict molecular behavior. This calculation offers insights into stability and reactivity of…
Calculating The Irr Brad Ryan, September 20, 2024 Determining the rate of return that makes the net present value of all cash flows from a project equal to zero is crucial for investment analysis. This process, vital for evaluating project viability, considers initial investment and future returns. Examples show its application across various investment scenarios, aiding informed decision-making…