This Q&A podcast focuses on preparing students for a financial modeling exam. The instructor begins by explaining the exam format (virtual, three hours, provided worksheet), then addresses common student errors: incorrectly adding new line items to the balance sheet, miscalculating operating costs, and improperly handling debt repayments. Specific advice includes always forecasting fixed costs in aggregate, not on a per-unit basis, and using the "negative min" function for revolver calculations. The session concludes with a detailed walkthrough of building financial statements (income statement, cash flow statement, balance sheet), emphasizing the importance of linking schedules correctly and avoiding "plugged" balance sheets. The instructor also provides helpful Excel navigation shortcuts.
