Standard cost drivers are commonly modelled by % revenue or by growth rate. However, it may not be ideal for all input costs. For example, depending on tax regime for your business a property tax may be levied on all or some commercial assets and is a cost of doing business. Property Tax Module with detailed instructions inside the xls file allows integrating property tax calculations in few minutes.
The Module is designed to demonstrate that our transparent model architecture makes it easy to replace any standard cost driver with a bespoke assumption. Model users can expand on the example provided and build their own complex rules with ease. The Model will take care of the rest. You can download the Property Tax Module here free (requires registration). Alternatively, you can always browse FinRobot add-ons’ library located in your user Account .
It should not take more than 10 minutes to merge the Module into the live Model: download an add-on xls file and follow the instructions to import the code into your Base Model. No advance knowledge of Microsoft Excel is required. It is a simple copy-paste operation. Remember to keep a separate copy of your Model prior to changes to revert to if you make a mistake.
Enjoy!