How to find the favorable project for your your money
In the conditions of a financial crisis, it is very important to invest your money with benefit. There are special mathematical calculations allowing to choose the most favorable capital investment project.
One of the most effective techniques consists in calculation of Economic Value Added (EVA). Calculating EVA is based on analyzing a capital investment required for the economic return. The EVA calculation is:
EVA = Economic Profit - (WACC * Invested Capital).
WACC - Weighted Average Cost of Capital. But the problem is the calculation of the Economic Profit and Invested Capital can be complicated in itself. In this connection it is easier to use ready Excel templates for realization of these and similar financial estimates. These templates allow you to calculate EVA and other financial indications (for example NPV or IRR) on the basis of expected expenditures and incomes. The net present value (NPV) of an investment is the current value of a future series of payments and receipts. The internal rate of return (IRR) is the interest rate received for an investment consisting of payments and receipts that occur at regular intervals.
If you need to calculate only NPV & IRR, you can use cheep Excel NPV & IRR Excel template. For example, you can download NPV & IRR Excel template.
FinStat Excel Templates allows also statistical analysis, for example private correlation, regression and more.
If you need the tools for the complete financial analysis, you can download a set of
Excel templates - Financial
Management 2009. This product is recommended extremely as allows to calculate easily
not only EVA, NPV and IRR, but also many other financial forecasts.
This product contains also Excel templates for cash flow and cash budget forecasting,
calculation of financial ratios, quick value, assets, real estate (income and capital
gain), forecasting, lease accounting, loan calculations, financial planning, costing,
business statistics, risk analysis, inventory Excel templates, Excel add-ins for
"what-if" financial modeling, bond valuations, balanced scorecard templates, NPV
tables, financial functions for Excel, financial ratios and many more.
What-if" financial modeling, bond valuations, balanced scorecard templates, NPV tables, financial functions for Excel, financial ratios and many more.
Financial Management 2009 allows also easily calculate ROI, ROR, EBIT, ROIC, EOQ, DCF, YTD, and more. It contains also online Business WebLinks Directory you can use for your financial needs. Contains: 150 business finance spreadsheets, Excel add-ins. Additionally we have included into this product nine new Risk Analysis spreadsheets. Read More