This note demonstrates the use of Lotus models for financial forecasting. It uses a step-by-step approach with examples of how to tie the different elements together. An exercise is included that requires students to forecast financial statements for Walt Disney, Inc

This technical note expands on the previous note, "Forwards and Futures" (UVA-F-1427), which introduced the basics of forward and futures contracts. It begins with examples where the hedging was one-for-one and the maturity of the futures contract exactly matched the timing of the transaction....