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3-Statement + DCF: Full Build

Build a complete 3-statement + DCF model from a near-blank sheet: a level-pay debt schedule you amortize off a real Year 0 balance, revenue dragged across five years, the income statement waterfall, the cash flow bridge, a Year 0-anchored balance sheet with a real Net Working Capital line and no plug, a WACC decomposed into CAPM cost of equity and after-tax cost of debt at Year-0 book-value weights, and a DCF to a per-share price under both Gordon-growth and exit-multiple terminal values. Every line is linked, never pasted, and every asset is independently built — nothing is solved backward to force the balance check to tie.

IB · Intermediate · about 120 minutes · 41 guided steps

Lesson outline

Debt Schedule

  1. Step 1: Annual Debt Payment
  2. Step 2: Debt: Opening Balance
  3. Step 3: Debt: Principal Repayment
  4. Step 4: Debt: Ending Balance

Income Statement

  1. Step 5: Revenue
  2. Step 6: EBITDA
  3. Step 7: D&A
  4. Step 8: EBIT
  5. Step 9: Interest Expense
  6. Step 10: Pretax Income
  7. Step 11: Net Income

Working Capital Schedule

  1. Step 12: Accounts Receivable
  2. Step 13: Inventory
  3. Step 14: Accounts Payable
  4. Step 15: Year 0 Net Working Capital (memo)

Cash Flow Statement

  1. Step 16: Net Working Capital
  2. Step 17: Change in NWC
  3. Step 18: Cash from Operations
  4. Step 19: Unlevered Free Cash Flow

Balance Sheet

  1. Step 20: Ending Cash
  2. Step 21: Net PP&E
  3. Step 22: Total Assets
  4. Step 23: Total Equity
  5. Step 24: Balance Check

Valuation — WACC & DCF (Gordon TV)

  1. Step 25: Cost of Equity (CAPM)
  2. Step 26: Target Equity Weight
  3. Step 27: Target Debt Weight
  4. Step 28: After-Tax Cost of Debt
  5. Step 29: WACC
  6. Step 30: PV of Explicit Forecast UFCF
  7. Step 31: Terminal Value — Gordon Growth
  8. Step 32: PV of Terminal Value
  9. Step 33: Enterprise Value
  10. Step 34: Year 0 Net Debt
  11. Step 35: Equity Value
  12. Step 36: Implied Share Price

Cross-Check — Exit-Multiple TV (academy-only)

  1. Step 37: Terminal Value — Exit Multiple
  2. Step 38: PV of Terminal Value — Exit Multiple
  3. Step 39: Enterprise Value — Exit Multiple
  4. Step 40: Implied Share Price — Exit Multiple
  5. Step 41: Gordon TV — Implied Exit Multiple