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What...if modeling

    

 

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Scenario modeling capabilities...

The Du Pont ratios and other KPIs are displayed as soon as the financial data has been loaded. Once you've absorbed those, you'll want to see what the effect of some changes will be. Typically called "What...If" modeling, this is the second of Insight's three levels of financial analysis.

With Insight, not only can you enter projected changes to the original figures you entered (such as a new Debtors figure), you can enter changes to any of the Insight ratios and KPIs (such as projected Debtors Days).

Simply enter the proposed change(s) and immediately see the financial effect flow through Revenue/Earnings, Balance Sheet and Funding. Even better, Insight's "Delta" feature will show you only those amounts that have been affected, and by how much! 

As well as a superb modeling tool, used in conjunction with Delta it's a great way to remind you of all the "flow-on" effects. For example, who'd remember that even a small change to Debtors will have a flow-on effect to 17 items, from Interest charges to Asset Turnover!