How to analyze a financial project?

When i am given a large financial analysis project to do, what are the first things i should do.

1 Answer(s)


You should typically follow these steps -
1. Read the project plan/report and note down all financial data and assumptions
2. Build a financial model that reflects the projects historicals and projections. For assumptions to project use the project report and talk to the project managers
3. Compare the projects numbers to other similar projects to double chec k your assumptions
4. Make the model as dynamic as possible so new assumptions can be easily factored in
5. Calculate project specific ROI's