Video Tutorial: Circular Calculation in Excel
Video Tutorial: Circular Calculation in Excel
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Most people think that when you open Excel and have a CIRCULAR REFERENCE warning pop up that there’s something wrong with the model. And in some cases it’s true… in many cases however, when we get the warning about a circular reference, it’s NOT a mistake, in fact, IT’S A NECESSARY PART of banking models. When you build a three statement model or a leveraged buyout model — really any model that is forecasting debt —, it’s imperative to remember to turn iterations on in your Excel settings. Why d
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