Apply capital budgeting techniques to determine the profitability of your forecasted financials from the standpoint of your investor.

Using the 5-year forecasted Income Statement and 5-year forecasted Balance Sheet you created in Milestone 2, you will analyze your financials using CVP analysis to determine breakeven and other metrics. You will also apply capital budgeting techniques to determine the profitability of your forecasted financials from the standpoint of your investor. Based on your analysis, you will answer questions about your results. See the Course Project Excel Template for additional details and requirements.

Best Practices

Although Milestone 1 is fairly straightforward, Milestones 2 and 3 will take more time and effort. Make sure to start Milestone 2 by the beginning of Week 4, and Milestone 3 by the beginning of Week 6.

If you are new to Excel, view the Excel orientation videos. You may also want to watch some Excel tutorials — there are numerous tutorials on YouTube.

If clear, proper writing is a challenge for you, then download the FREE software from Grammarly.com. It will find your spelling mistakes and will even suggest better ways to structure your sentences. Even if you write well, you should use this tool!

After completing Milestone 2, make sure to correct any errors you have made, since your Milestone 3 will be based upon your Milestone 2 results. You don’t want to risk losing points twice for the same error.