4. As you begin to create a corporate finance model, what are the most important components you need to have answers to in order to deal with valuation, risk, and investments?

• the drivers of sales, profitability, and interest rates
• the drivers of sales, costs, and profitability
• the drivers of cost, rate of return, and future cash flows
• the drivers of sales, available working capital, and cost

5. In using a top-down financial model, what assumptions must you make?

• what price are customers willing to pay, how will inflation affect sales price, and what is your company's required internal rate of return
• what will be the market sales growth every year, how much your share of the market will grow, and how much your order value will grow
• what percentage of the market can you optimistically capture, how will your competitors react, and how much of the market will you retain
• what will be the sales market sales growth every year, how much your order value will grow every year, and what your weighted cost of capital will be

6. How can Excel help you address the problem of interest rates significantly fluctuating over time?

• You can import FRED data into Excel.
• You can calculate a projected future rate in Excel.
• You can use the AVERAGEIF function in Excel.
• You can use the AVERAGE OF function in Excel.