Stage 2 (2023) "Stolen Stars"

Description
Financial Modeling World Cup is an annual competition dedicated to financial modeling with a view of promoting healthy competition and education. FMWC challenges participants through a range of different types of questions. To answer everything correctly and win prizes, it takes a wide spectrum of skills and knowledge related to financial modeling. The competition is structured in a way that each participant accumulates points during the season by participating in as many Stages as they desire. At the end of the season (December), the overall winners are announced and the prize fund is distributed. Additional monthly prize money is distributed to the best-performing participants of each stage.


This is an actual case study that was presented to the participants of the Financial Modeling World Cup 2023, Stage 2 (March 10-13).


Case study description:
This case is about what you can do when you have some information about inputs for your financial model, but don’t have the precise numbers.
You are a financial modeler at a young internet retail platform called ‘Nile’. To help convince companies to sign up and sell through your platform, Nile has an incentive where retailers earn money based on the reviews they receive. Due to a security breach, data on the number of stars for one year has been temporarily lost. A news story has gone live about fake reviews online and the CFO needs an urgent estimate of the incentive payment for this year to reassure the shareholders.



The downloadable file consists of the following:
-Task: PDF file with Case Materials; PDF file with Questions
-Solution: Excel file with full Solution Model; PDF file with correct Answers in Bold


You can also buy tickets to participate in the future FMWC Stages at https://www.fmworldcup.com/product-category/regular-competition/