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SOME OF OUR LATEST THINKING

The accuracy of your IRRs and NPVs depends to a large extent on the quality of the assumptions that go into the financial model. However, there is one element that also affects the accuracy of the calculations.
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Many finance problems inherently involve circular calculations. The most common of them is balancing the balance sheet. So how do we typically solve such kind of modeling problems?
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FINANCIAL MODELING

how-accurate-are-your-irrs-and-npvs Avoid circularity in financial models how accurate are your IRRs and NPVs

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