Free Resources

Online Tutorials & Resources

Ten step-by-step tutorials—with downloadable spreadsheets—that walk through the key concepts in the book.

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The Ten Online Tutorials

01

How Do You Calculate Present Value?

Today’s value of tomorrow’s cash flow: the size, risk, and timing of a cash flow determine what it is worth now.

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02

How Do You Estimate Sales and Sales Growth Rate?

Where to find historical sales figures and projected growth rates, using Domino’s Pizza as the case study.

Case documents Read tutorial →
03

How Do You Calculate Operating Profit Margin?

Computing historical operating margins from public filings and projecting them into the future.

Spreadsheet included Read tutorial →
04

How Do You Calculate Incremental Net Working Capital?

Finding the data, computing historical working capital trends, and projecting future needs.

Spreadsheet included Read tutorial →
05

How Do You Calculate Incremental Fixed Capital?

Measuring the cash a company invests in long-term operating assets above and beyond depreciation.

Spreadsheet included Read tutorial →
06

How Do You Calculate the Cash Tax Rate?

Defining the unlevered cash tax rate and walking through a sample calculation.

Spreadsheet included Read tutorial →
07

How Do You Calculate the Cost of Capital?

Estimating the weighted average cost of capital from the costs of debt and equity.

Spreadsheet included Read tutorial →
08

How Do You Perform a Price-Implied Expectations Analysis?

Putting it all together: free cash flow, non-operating assets, and the market-implied forecast period.

Spreadsheet included Read tutorial →
09

How Do You Analyze an M&A Deal?

Shareholder Value at Risk, Premium at Risk, and anticipating the market’s reaction to a deal.

Spreadsheet included Read tutorial →
10

How Do You Assess the Value of Real Options?

Valuing uncertain growth opportunities with real-options techniques, using Shopify as the case study.

Spreadsheet included Read tutorial →
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