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Excel: Financial Modeling with Dynamic Arrays

Excel: Financial Modeling with Dynamic Arrays

2h 41mIntermediate2025-07-09

Authors

Danielle Stein Fairhurst

Danielle Stein Fairhurst

Microsoft MVP | Financial Modeller | Author | Corporate Trainer

Course details

Transform traditional spreadsheet modeling by harnessing Excel's powerful dynamic array capabilities. In this course, instructor Danielle Stein Fairhurst outlines financial modeling practices that go beyond legacy techniques that rely on copied formulas and manual updates. Learn how to create more efficient, scalable, and maintainable financial models using Excel's latest array functions and spill behavior. Through hands-on exercises, you'll discover techniques for building dynamic financial statements, valuation models, and sensitivity analyses that automatically update and adapt to your data as it changes. The course covers modern solutions for common modeling challenges, from handling varying data ranges to creating flexible scenario analyses, all while maintaining best practices for financial modeling structure and documentation.

Learning objectives
Create dynamic, scalable financial models using Excel's latest array functions and spill capabilities that automatically adjust to changing datasets and model requirements.
Apply dynamic arrays to build more efficient financial statements, valuation models, and sensitivity analyses while reducing formula complexity and potential errors.
Leverage advanced techniques for handling dynamic ranges, creating flexible scenario analyses, and implementing data validation in array-based models.
Transform traditional financial models into modern, maintainable solutions that take advantage of Excel's newest features while following financial modeling best practices.

Skills covered

Corporate FinanceSpreadsheetsMicrosoft ExcelFinance and AccountingBusiness Software and ToolsMicrosoftDeep Dive (X:Y)

Concepts

0. Introduction

  • 01 - Perform financial modelling with dynamic arrays
  • 02 - Prerequisites for dynamic array modeling
  • 03 - Financial model disclaimer

1. Exploring Dynamic Arrays as a Modeling Tool

  • 04 - Dynamic arrays - Core benefits for modeling
  • 05 - Dynamic vs. traditional formula comparison
  • 06 - Essential array functions for financial models
  • 07 - Selecting the right function
  • 08 - Using the SEQUENCE function
  • 09 - Building flexible model timelines
  • 10 - Using a BYCOL LAMBDA to create flexible calculations
  • 11 - Applying dynamic formatting to models

2. Financial Modeling Best Practice and Design Techniques

  • 12 - Best practices in financial modelling
  • 13 - How dynamic arrays help adhere to best practice
  • 14 - Designing a layout to incorporate spill ranges
  • 15 - Using helper rows to spill dynamically
  • 16 - Modelling for indexation and growth
  • 17 - Working with dates dynamically
  • 18 - Building cumulative or running totals
  • 19 - Limitations and dangers of array functions

3. Financial Statements Modeling

  • 20 - Overview of the financial statements
  • 21 - Financial statements modelling
  • 22 - Modelling corkscrew accounts
  • 23 - Capital purchases and the financial statements
  • 24 - Building a dynamic depreciation waterfall schedule
  • 25 - Building a dynamic debt schedule
  • 26 - Building a dynamic working capital schedule

4. Advanced Modeling Tools and Techniques

  • 27 - Including scenarios in a financial model
  • 28 - Building scenarios
  • 29 - Adding sensitivity testing with a checkbox
  • 30 - Using named ranges
  • 31 - Creating your own functions with LAMBDA
  • 32 - Dealing with circular references
  • 33 - Circularity in interest calculations
  • 34 - Using interest circularity and dynamic arrays

5. Preparing the Case Study Model

  • 35 - What we're going to build
  • 36 - Entering assumptions
  • 37 - Calculating revenue
  • 38 - Calculating expenses
  • 39 - Capex and depreciation modelling
  • 40 - Building the debt schedule
  • 41 - Building the working capital schedule

6. Building the Financial Statements

  • 42 - Income statement
  • 43 - Cash flow statement
  • 44 - Balance sheet assets
  • 45 - Balance sheet liabilities
  • 46 - Adding scenarios

Conclusion

  • 47 - Keep modeling with advanced arrays

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