Learn Finance, Accounting, Modeling and Valuation in 2026

Explore language of accounting showing how capital, assets, cash flow fuel production and profits, and how transactions are recorded in journals and ledgers, shaping profit and loss and balance sheet.

Explore how capital, or owner’s equity, grows when profits are earned, as shown on the balance sheet where capital rises from 1.0 to 1.5 million and assets increase.

Explain the three primary financial statements—balance sheet, profit and loss, and cash flow—and their building blocks: assets, liabilities, incomes, and expenses.

Classify assets into fixed assets and current assets, listing cash, stock, receivables, marketable investments, and land, and explain liabilities, equity, income, and expenses, including depreciation.

Construct a personal balance sheet by listing assets and liabilities, totaling assets, subtracting liabilities to reveal net worth or equity.

Explore how a company's balance sheet records fixed assets at cost with depreciation, and current assets like cash, receivables, stock, and marketable investments against liabilities to reveal equity.

The p&l account records income minus expenses for a period, showing changes in equity on the balance sheet and how after-tax profits affect retained earnings and dividends.

Learn how the profit and loss statement records income earned and expenses incurred over a period using accrual accounting, where income minus expenses equal profit.

Explain profit and loss statement by detailing revenues and expenses, including sales returns, royalties, commissions, interest earned, increase in value of investments, opening stock, purchases, salaries, depreciation, taxes, and profit.

Explore the format of the manufacturing and trading account and the profit and loss account, tracing sales to gross and net profit and defining cost of goods sold and eps.

Explore how each transaction affects the balance sheet—assets, liabilities, and owners’ equity—while the profit and loss account (income statement) tracks revenue and expenses.

Explore how a simple manufacturing company builds the balance sheet by tracking cash, assets like machines, and equity, while recording expenses, liabilities, and a year's loss transferred to equity.

Build and adjust the balance sheet by recording material consumption, work in progress, and expenses, then recognize shirt sales and their impact on cash, and receivables.

Analyze end-of-year balance sheet adjustments, including bad debt write-offs, cash shifts, depreciation, and reversing pre-expense items into clothing stock; calculate ebitda, tax effects, and retained earnings.

Analyze the balance sheet by detailing asset types—fixed and current assets, cash, receivables, and investments—and liability sources like equity and debt, where assets equal liabilities on a date.

Explore core accounting concepts and conventions, including the money measurement concept, the business entity concept, and revenue recognition, showing how owner and business remain separate and profits belong to the owner.

Explore three key accounting concepts, going concern, accrual basis for revenue and expenses, and consistency in policy, along with the auditor's role in assessing solvency and policy choices.

Learn how balance sheet assets are valued: land at cost, fixed assets net of depreciation, inventories at lower of cost or realizable value, and marketable investments at market value.

Explore how a real company formats a balance sheet and profit and loss, listing assets like cash and machinery and balancing totals with liabilities and owner equity.

Trace and record a sequence of accounting entries, from salaries and a loan to sales on credit, showing impact on cash, receivables, and the balance sheet.

Practice making accounting entries by recording interest expense, investments, goodwill, depreciation, and losses from events like fire, while updating cash, balance sheets, and closing entries.

Learn how compound interest grows a principal at a 10% rate over five years, comparing it with simple interest, and derive the formula A = P(1 + r)^n.

See how compounding frequency converts nominal rates into higher effective returns, from annual to quarterly, monthly, and daily. Explain using a 12 percent example and the natural limit.

Explore compounding of a 1000 rupee investment at 10 percent annually. Understand discounting by converting future value to present value using the formula present value equals future value over (1+i)^n.

Apply the compound interest formula A = P*(1+r)^n to compute future value and present value. Use Excel's log function to explore time value of money, discounting, and bond mathematics.

Apply the rule of 72 to estimate how long money doubles or the required rate of return, without a calculator.

Demonstrates how compounding and the rule of 70 amplify wealth over time, illustrated by a 1968 land example and a fixed deposit comparison.

Compare arithmetic mean and geometric mean for finance using a year-on-year Sensex example; learn how geometric mean yields the correct average over multiple periods.

Compare arithmetic mean and median for P/E ratios, showing how outliers can bias the mean and why median provides a robust alternative in finance comparisons.

Explain present value and future value of cash flows using a 10 percent rate, showing 100 today grows to future amounts and yields the same present value.

Analyze present value: at 6%, $110 in one year has present value about $103.71 vs $100 now; at 13%, present value of $110 is $97.85, so take now.

Determine the required rate of return as the risk-free rate plus a credit and default risk delta, benchmarked by government proxies, and adjust for collateral and counterparty risk.

Explore how the required rate of return for debt or equity depends on risk perception, the risk free rate, yield curve, and investee strength.

Compare projects A and B by discounting each cash flow at 12% to compute their net present values, then choose the project with the higher NPV.

Learn to calculate the present value of each cash flow, positive or negative, and sum them to obtain NPV, noting that higher discount rate r lowers NPV.

Learn how to compute the present value of a finite annuity with 5,000 payments starting in year one at 10% discount, and contrast with the perpetuity formula 5,000/0.1.

Model a five-year bond on a spreadsheet with 100,000 outlay, 10,000 annual coupons, and a 110,000 final payoff at 10% discount rate; interpret npv as zero, positive, or negative.

Explain how bond prices reflect expected cash flows and required returns; model cash flows in a spreadsheet and compute price as the NPV discounted at the market yield.

Identify the story behind a project or bond, enumerate its future cash inflows and outflows, and apply the discount rate to derive present value in a DCF.

Learn why discounted cash flow relies on cash flows, not accounting profits, to capture the timing of inflows and outflows and assess projects with NPV and IRR.

Learn spreadsheet conventions for discounted cash flow problems by setting input cells, modeling cash flows over project life, calculating NPV or IRR, and avoiding hardcoding formulas.

Explore DCF methods, NPV and IRR, learn to compute NPV and IRR from cash flows and terminal value, visualize on a spreadsheet for project evaluation.

Explore the capital budgeting process from planning and identifying opportunities to evaluation, applying appraisal techniques (payback, NPV, IRR), and conducting non-financial feasibility assessments, leading to project selection, launch, and control.

Explore the time value of money, rate of return, and cost of capital. Understand how interest rate risk affects bonds and how DCF and NPV relate to share prices.

Calculate the present value of a growing perpetual annuity by discounting a starting payment of 5,000 next year, growing at 2% with a 10% discount rate, yielding 62,500 rupees.

Explore converting a capital budgeting story into a year-by-year Excel cash-flow model for ABC Limited, calculating taxes, depreciation, salvage value, and evaluating viability using net present value and IRR.

Review fundamentals of accounting—assets, liabilities, incomes, and expenses—through double-entry bookkeeping, profit and loss accounts, and balance sheets, and apply time value of money and discounted cash flow to evaluate projects.