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FIN3704 Assignment 2 (COMPLETE ANSWERS) Semester 1 2026 - DUE 24 April 2026

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FIN3704 Assignment 2 (COMPLETE ANSWERS) Semester 1 2026 - DUE 24 April 2026; 100% TRUSTED Complete, trusted solutions and explanations. For assistance, Whats-App 0.8.1..2.7.8..3.3.7.2... Ensure your success with us.. QUESTION 1 (8 marks) 1.1 What Excel functions can you use to gather and analyse financial statement data, such as income statements and balance sheets? Name two. 1.2 When constructing a cash budget in Excel, what key components and factors must be considered? Name two. 1.3 Describe any two steps for projecting financial performance in Excel using historical data. 2.3 How can Excel be used to apply the time value of money concept in financial analysis? Section B: Practical Excel Tasks Question 2 (22 marks) Use Excel to perform the following tasks. (Answers assume ideal outputs using formulas.) 1.1 Given the following income statement snippet, use Excel to calculate total expenses and net profit: Item Amount (R) Revenue 100,000 Cost of Sales 40,000 Operating Expense. 25,000 Interest Expense. 5,000 Instructions: • Create formulas to calculate total expenses and net profit. 2.2 Create a 3-month cash budget using the template below. Assume constant sales and fixed costs. Month Jan Feb Mar Opening Balance 10,000 Cash Inflows 20,000 20,000 20,000 Cash Outflows 15,000 15,000 15,000 Closing Balance Instructions: • Use formulas to calculate closing and opening balances for each month. Answer: 2.3 Use Excel’s NPV function to evaluate a project with the following cash flows and a discount rate of 10%: Year Cash Flow (R) 0 -50,000 1 15,000 2 20,000 3 25,000 Instructions: • Calculate NPV using =NPV() and =NPV() + Initial Investment. 2.4 Create a simple trend projection of revenue based on the following data using FORECAST.LINEAR: Year Revenue (R) 2022 80,000 2023 90,000 2024 100,000 2025 ? Instructions: • Use FORECAST.LINEAR to estimate 2025 revenue.

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FIN3704
Assignment 2 Semester 1 2026
Unique number:
Due Date: 24 April 2026

QUESTION 1

1.1

Two Excel functions used to gather and analyse financial statement data are:

 SUM function – used to add totals such as total revenue, total expenses, or total
assets.

 AVERAGE function – used to calculate averages, for example average monthly
sales or expenses.




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QUESTION 1

1.1

Two Excel functions used to gather and analyse financial statement data are:

 SUM function – used to add totals such as total revenue, total expenses, or
total assets.

 AVERAGE function – used to calculate averages, for example average
monthly sales or expenses.




1.2

Two key components to consider when constructing a cash budget in Excel are:

 Cash inflows – this includes money coming into the business such as sales
receipts, loans received, or investment income.

 Cash outflows – this includes payments such as salaries, rent, suppliers, and
other operating expenses.




1.3

Two steps for projecting financial performance using historical data are:

 Analyse past data trends – review previous financial data such as sales and
expenses to identify patterns or growth trends.

 Apply growth assumptions or forecasting formulas – use Excel tools like
formulas or trend functions to estimate future values based on historical
performance.




2.3
Disclaimer
Great care has been taken in the preparation of this document; however, the contents are provided "as is"
without any express or implied representations or warranties. The author accepts no responsibility or
liability for any actions taken based on the information contained within this document. This document is


intended solely for comparison, research, and reference purposes. Reproduction, resale, or transmission

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