DuPont Model

Centrec’s Du Pont Financial Analysis Model provides a unique look into an operations financial structure and operating efficiency. The Du Pont Model can be used to troubleshoot operational or structural problems from a financial perspective, with a specific focus on ROA and ROE.

Instructions:

Select "Input Income Statement" below in order to enter income statement information. Select "Input Balance Sheet" below to enter balance sheet information. Then, choose between viewing the information on a book basis or market basis by selecting the appropriate button below. The market basis will use the market value for all noncurrent assets in all the calculations, while the book basis will use the book value for all noncurrent assets. In order to see different examples of returns, leverage, and profitability, select the check box to the left. The user must select the check box again to be able to directly enter inputs.

Below is an interactive financial analysis model.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Below are two screen captures from Centrec's Du Pont Financial Analysis Model. Click on the images to view a larger image.

The simple view requires only eight inputs (two optional inputs allow liquidity analysis). The Du Pont Financial Analysis Model provides insight into an operation’s key financial measures. Working with a financial expert you can identify prescriptive steps to enhance your operation’s financial performance.

The detail view contains more inputs than the simple view, however the output and analytical insight gained is the same as from the simple view. The benefit is that the detailed framework allows for deeper analysis of your operation’s sensitivity to various financial measures.

To discuss how the Du Pont Financial Analysis Model can be used to gain a deeper understanding of your business, please contact Todd Doehring at Centrec Consulting Group, LLC via e-mail at centrec@centrec.com or via phone at 217-352-1190.

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

HOME  |  ABOUT  |  SERVICES  |  TRAINING  |  CONTACT          Copyright (c) 2013 Centrec LLC