Model: Difference between revisions
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* [[Financial model]] | * [[Financial model]] | ||
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* [[Modelling]] | * [[Modelling]] |
Revision as of 10:54, 13 November 2016
A representation of a real situation using a selected set of simplifying assumptions and relationships.
In finance, financial models are widely used as tools for valuation and to support financial decisions.
An important benefit of well-structured financial models is to facilitate sensitivity analysis.