Welcome to your free Financial Modelling Test


1) In financial modelling, what is the WACC used for?

2) If you perform a discounted cash flow analysis for a project and determine that there is a positive NPV, what does this mean?

3) What would be the IRR for this series of cash flows:

Year 0: $600

Year 1: $200

Year 2: $500

Year 3: $400


4) For a mining project that has a limited lifespan, at the end of the project we should:

5) The best way to provide multiple scenarios in a financial model is:

6) If you create your financial model in months then want to consolidate the calculations to quarters and/or years, the simplest and most efficient formula to use for income and expense items would be:

7) You are considering a new project and an analyst has produced the chart below for you. If your company's WACC is 8%, what would be your recommendation?



8) Which of the following statements is true regarding the series of cash flows below?



9) An analyst has produced the following chart from their financial model (NPAT = net profit after tax). What is the best analysis of this chart?



10) The chart below relates to an oil & gas project.  What can you conclude from looking at this chart?
(OPEX = operating expenditure, CAPEX = capital expenditure, Government take = tax paid/refunded)



 



Be sure to click the button below to see your results!