Model: Difference between revisions
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''Spreadsheets and models.'' | |||
A representation of a real situation using a selected set of simplifying assumptions and relationships. | A representation of a real situation using a selected set of simplifying assumptions and relationships. | ||
Revision as of 13:56, 8 April 2021
Spreadsheets and models.
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 and stress testing.
