Comparison is one of the most common things we do with Excel. Naturally, there are so many ways to compare 2 lists of data using Excel. We have discussed various techniques for comparison earlier too,
- Compare 2 lists using conditional formatting
- Even faster way to compare lists
- Compare lists using row differences
Today, I want to share an interesting comparison problem with you.
Lets say you run a small shop which sells some highly specialized products. Now, since your products require quite some training before customers can buy them, you keep track of all product queries and arrange demos.
After a hectic week, you are staring at 2 lists. One with product queries, another with product demos.
And you have 2 burning questions,
1. Did we finish all the queries we had?
2. Should I go get some coffee?
Lets answer question number 2. Yes, you can get some coffee. Go, enjoy it now
Back already?!? Good. Now, lets answer the question 1.
Compare 2 Lists Visually using Conditional Formatting
[Note: this article is inspired by Reepal’s comment.]
You would like to highlight the lists as shown below, so that you would know whether each product query is fulfilled or not.
Step 1: Create 2 more lists, with count of products
In order to compare our lists, we need some help. We will create 2 more lists like this:
How do we generate these lists?
Assuming our original data is in B6:B33 and D6:D33,
- In a blank cell (lets say in F6), write =B6&COUNTIF(B$6:B6,B6)
- This gives the count of first product up to that point, ie, Fired Forks1.
- Now drag & fill the formula down until F33
- Do the same in column H, but use the formula =D6&COUNTIF(D$6:D6,D6)
- Fill this until H33
Step 2: Name these new lists
Now that we have created 2 more lists, lets give them names. Select the range F6:F33, go to Formula ribbon and click on “Define Name”. Name the range count1s
Do the same for range H6:H33 and name it count2s
Stpe 3: Apply Conditional Formatting to First List (Product Queries)
Now that we have done all the background work, lets visually compare the data. Select the first list (B6:B33) and go to Conditional Formatting > New Rule
We need to write a rule such that we would highlight all the items in list 1 whenever there is a match in list 2.
The rule is =COUNTIF(count2s,$F6)>0
It means, is the value in F6 present in 2nd list?
in other words, does the first product query has a corresponding product demo?
Set the formatting as you want. Click ok.
Step 4: Apply conditional formatting to Second List
Use the same logic, but this time the rule becomes =COUNTIF(count1s,$H6)
That is all, we have visually compared the two lists.
If you feel like, you can go back for one more cup of coffee.
Download Example Workbook
Click here to download the example workbook – Compare 2 lists visually and play with it. Examine the formulas in columns F & H. Also examine the conditional formatting rules to understand how this works.
How do you compare lists of data?
For me comparison is an everyday task. I rely in several techniques, some quick and dirty, others a bit more elaborate. For quick comparisons, I use either row differences or highlight duplicates rule. For elaborate comparisons, I use COUNTIF, VLOOKUP or other formula based techniques.
What about you? How do you compare lists of values? What techniques and tips you suggest. Please share using comments.
Want to learn Excel Formulas?
If you want to learn Excel formulas so that you can compare, analyze and present better, then please consider joining my Excel Formula Crash Course. This is an 8 hour online training program aimed to make you awesome in Excel formulas. We teach more than 40 every day formulas with loads of real-world examples, practice material & homework.
62 Responses to “Introduction to Financial Modeling using Excel [Part 1 of 6]”
Oooh! Chandoo - are you looking to outperform the Altman Z-Score?
I'm all ears 😉
Many thanks, Paramdeep. Looking forward to the remaining parts of the series
Thank you Paramdeep. I look forward to following the series.
Those interested in Financial Modelling may also find this site interesting:
http://www.fimodo.com/
Hi Chandoo,
Really looking forward for this awesome financial modeling journey 🙂
All the very best..
Regards
Rohit1409
Hi Chandoo,
it seems the future is not away when we will have a new software/spreadsheet as competitor to Microsoft Office/Linux etc.......Hats Off to you..
KEEP SMILING
GURU
@apex, clarity: Thanks...
@all: I do hope that you have started creating the model for the simple case given.. Lets see, what according to you all is the best way forward. So your views on the best practices for the template for valuation?
The planning process varies depending on the project and type of data I am looking at.
If I am doing a cost impact study based on actuals, verses a cost impact study to estimate future cost, verses reviewing historical data then creating a model, verse having to review historical data, apply it to a draft model, update the model based on the draft outputs and the presentation then sometimes repeat the process a few times.
Revisions are an absolutely necessary part of corporate financial modeling especially for the presentation sections. A good presentation will be revised multiple time. There are just to many elements which cannot be planned for, especially with ad hoc reports/models.
Revisions are leading cause of errors, and time spent tracking down errors. The more complex the model the more important revision control is. I would be interested in a section on revision control and good methodologies to determine the effect of changes on models. That is without having to due detail review of the whole model over again.
Hi Paramdeep,
I can't wait for the continuation of this series. You have done a great job in making technical terms appear simple and easy to understand. This article is also very useful in our line of business, in fact i will be featuring this article in our site. Of course the credits will go out to you.
Many thanks and keep it up!
Drew
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@Drew: Thanks! Hope that you found the tutorials useful. Feel free to get back with any queries.
[...] you are building financial models or any other type of excel based decision models, chances are, there will be multiple scenarios in [...]
Great information, i also want to learn financial modeling, how to learn
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chando bhai i m tired for looking financial modeling detail but i cant find it anyway. so plz kindly send me full detail of financial modeling from beginning levelo to final. where i learn complete modeling procedure n order to become professional
You noob, you won`t become a professional like that, you need to do it on your own and learn as you go
@Nadeem Bhai,
The 6 links to the tutorial at the top of this post, build a small integrated financial model step by step. We are also running a complete 8 weeks course on financial modeling (similar to excel school). But that is almost 50% complete right now. If you want to join, you can join the next batch (probably starting in Jan/ Feb)
Feel free to get back, if you have any queries regarding the model/ steps in creating the same
[...] you do not wish to join our course, we are still cool. Here is a 6 part training on financial modeling & 2 part training on project finance. They are free, fresh and [...]
I want to learn how to build a financial model
Dear Lulama,
You can use this tutorial to learn to build a financial model. We also run a course on financial modeling and project finance modeling. The details can be obtained from:
http://chandoo.org/wp/financial-modeling/
You can consider joining that as well.
I would strongly encourage you to join the newsletter to get the updates about financial modeling and the next batch starting for the course.
I want to learn thorough excel and financial modelling thing !!! I am a chartered accountant..CAn you please suggest a detail syllabus that should be learn by me. Also suggest any classes that would cover everything in excel and financial modelling related things.. I stay in mumbai, so please suggest a class in mumbai or any books..byyee.. thanks ..
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Hi Vivek,
We do conduct the financial modeling course online as well as in Mumbai. We start with the basics of excel and build a completely integrated financial model in the class. For details you can look at:
http://chandoo.org/wp/financial-modeling/
or
http://www.edupristine.com/courses/financial-modeling/prisitne-fm-offering
Please describe to me various type of financial modela and demonstrate how a model can be build.
Regards,
Dear Immanuel,
This series of articles does exactly that. If you go step by step through the articles and create the excel sheets on your own, you will understand how to create an integrated financial model.
Alternatively, if you are looking for video sessions, you can consider joining our course:
http://chandoo.org/wp/financial-modeling/
It is expected to reopen somewhere in mid july.
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Thanks Paramdeep this is great!
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Paramdeep Hi! A bit ignorant here, but let's ask anyway. Can I access "recorded" video sessions apart from following the step by step articles?
Thanks!
@Marius: Yes, we do have a training program with recorded video sessions. If you are interested, you can enroll for the same. The details can be obtained from: http://chandoo.org/wp/financial-modeling/
i want to know about the scope of financial modeling.i also want to know after doing financial modeling course what are the job prospect, like where i can found job so plz send me full detail of financial modeling from beginning levelo to final.
I am interested to join your Financial modelling class cos am involved in a new business. But I have a Macbook Air with Excel for Mac installed. Would that work with your program?
Dear Charsiew,
The complete training program is built using Excel 2007 with MS windows. Though there is nothing specific to Microsoft in the training. I think a few people have joined the program and are using MAC. If you write an email to me on paramdeep @ gmail.com, I can send you the email ids of those participants and you can get to know their feedback and difficulties in using the program.
This is great, when does the next batch start?
Dear Karan,
The course is in recorded format and you can register for the same as soon as you want.
Paramdeep, thanks. I'm venturing into financial modelling for the first time and from the little I've read from your website already, I'm sure I'll find your resources very useful; thanks once again.
Dear Seun,
I am glad that you are finding the resources to be useful. Feel free to send in comments with your feedback and further questions.
hie ppl...I jst wantd a small favour cn smone help me out in calculating EBITDA, along with its working, from wipros annual report 2011-2012, link - http://www.wipro.com/investors/annual-reports.aspx
...PLZ plz... i am having a submission tommorow.
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Nice article.
In designing Excel Financial Models I design the user interface as friendly as possible and structuring the input variables in the workflow of the client's operations so that they can flow through the impact of the input variables in Excel using buttons and macros and giving the model transparency.
Cheers
Arthur
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Another step to build any financial model is to do a financial analysis beforehand. This normally helps to design and come up with good projections.
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