Number One Issue with Three Statement Modeling

In this video, I discuss the number one issue I see with three statement modeling, which is using the statement of cash flows to reverse engineer the balance sheet. I explain why this approach is prone to error and circularity. Instead, I recommend using the statement of cash flows to reference the information already present in the income statement and balance sheet. By doing so, you can avoid manual data entry and ensure accuracy in your financial modeling.
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Thanks for watching!
-Chris

[@joshpeters813]

I share sentiment with attaining mastery of the 3 statement models.
Is this spreadsheet format along with the cheat notes available in your offered courses? Is this topic emphasized or is this just a takeaway note.
Thanks for this btw (y)

[@chrisreillyfinancialmodeling]

Hey Josh, yes this is a view of one of the exact models from my courses. Hope this helps.