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Excel Finance MCP

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# Excel Finance MCP Server - Complete Professional Guide **Version 2.0.0 | Enterprise Edition** --- ## Table of Contents 1. [Introduction & Quick Start](#introduction--quick-start) 2. [Basic Financial Operations](#part-i-basic-financial-operations) - Excel File Management - Financial Calculations - Expense Tracking - Basic Cash Flow Analysis 3. [Intermediate Financial Analysis](#part-ii-intermediate-financial-analysis) - Loan Amortization & Analysis - Tax Calculations - Financial Statements - Rental Property Management 4. [Advanced Analytics & Modeling](#part-iii-advanced-analytics--modeling) - 13/52-Week Cash Flow Forecasting - DCF Valuation Models - Scenario Analysis - Executive Dashboards 5. [Enterprise Risk Management](#part-iv-enterprise-risk-management) - Monte Carlo Simulations - Sensitivity Analysis - Portfolio Risk Assessment 6. [Regulatory Compliance](#part-v-regulatory-compliance) - ASC 606 Revenue Recognition - SOX Controls Testing - Audit Preparation 7. [Property Management Suite](#part-vi-property-management-suite) - Lease Lifecycle Management - Investment Analysis - Maintenance & CapEx Planning 8. [Professional Reporting](#part-vii-professional-reporting) - Intelligent Chart Generation - Executive Presentations - Board Packages 9. [Quick Reference Guide](#quick-reference-guide) --- ## Introduction & Quick Start This MCP (Model Context Protocol) server transforms Excel into an enterprise-grade financial platform. It provides accounting professionals with automated tools that typically require expensive software or consulting services. ### Installation (5 minutes) ```bash # Clone the repository git clone https://github.com/your-org/excel-finance-mcp.git cd excel-finance-mcp # Install dependencies npm install # Build the server npm run build # Start the server npm start ``` ### Basic Setup Example ```typescript // Your first financial calculation financial_calculate_loan_payment({ principal: 500000, // Loan amount annualRate: 0.045, // 4.5% interest years: 30, // 30-year mortgage generateExcel: true // Create Excel file }) // Result: Monthly payment of $2,533.43 with full amortization schedule in Excel ``` --- ## Part I: Basic Financial Operations ### Chapter 1: Excel File Management **Creating a Basic Financial Workbook** ```typescript excel_create_workbook({ worksheets: [ { name: "Income Statement", data: [ ["Revenue", 1000000], ["COGS", -600000], ["Gross Profit", 400000], ["Operating Expenses", -250000], ["EBIT", 150000] ] } ] }) ``` **Reading Financial Data** ```typescript excel_read_workbook({ filePath: "Q4_Financials.xlsx", sheetName: "Balance Sheet", range: "A1:C50" }) ``` ### Chapter 2: Essential Financial Calculations **NPV Calculation Example** ```typescript financial_calculate_npv({ rate: 0.10, // 10% discount rate cashFlows: [-100000, 30000, 40000, 50000, 60000], generateExcel: true }) // Result: NPV = $38,016.53 // Interpretation: Positive NPV indicates project should be accepted ``` **IRR Calculation Example** ```typescript financial_calculate_irr({ cashFlows: [-250000, 80000, 85000, 90000, 95000, 100000], guess: 0.10 // Initial guess 10% }) // Result: IRR = 23.44% // Interpretation: Exceeds 10% hurdle rate, project is viable ``` ### Chapter 3: Expense Tracking **Department Expense Analysis** ```typescript expense_categorize_transactions({ transactions: [ { date: "2024-01-15", description: "Oracle Database License", amount: 45000, vendor: "Oracle Corp", department: "IT" }, { date: "2024-01-16", description: "Q1 Marketing Campaign", amount: 25000, vendor: "AdAgency Inc", department: "Marketing" } ], categories: ["Software", "Marketing"], generateSummary: true }) // Generates categorized expense report with variance analysis ``` ### Chapter 4: Basic Cash Flow Analysis **Simple Cash Flow Projection** ```typescript cash_flow_projection({ startingBalance: 500000, periods: 12, // 12 months revenues: [ { month: 1, amount: 150000, description: "Product sales" }, { month: 1, amount: 25000, description: "Service revenue" } ], expenses: [ { month: 1, amount: -100000, description: "Operating costs" }, { month: 1, amount: -30000, description: "Payroll" } ], generateExcel: true }) // Creates monthly cash flow with ending balances and burn rate analysis ``` --- ## Part II: Intermediate Financial Analysis ### Chapter 5: Loan Amortization **Commercial Loan Analysis** ```typescript financial_calculate_loan_amortization({ principal: 2000000, annualRate: 0.055, // 5.5% rate years: 10, paymentFrequency: "monthly", extraPayment: 5000, // Additional principal payment generateExcel: true }) // Output includes: // - Payment schedule with principal/interest breakdown // - Total interest saved: $145,232 // - Payoff acceleration: 18 months earlier ``` ### Chapter 6: Tax Calculations **Corporate Tax Planning** ```typescript tax_calculate_corporate({ grossIncome: 5000000, deductions: { operatingExpenses: 3000000, depreciation: 200000, interestExpense: 150000 }, credits: { researchDevelopment: 50000, greenEnergy: 25000 }, state: "CA", // California state tax generateExcel: true }) // Result: // Federal Tax: $283,500 // State Tax: $114,400 // Effective Rate: 23.7% // After-tax Income: $1,277,100 ``` ### Chapter 7: Financial Statement Generation **Three-Statement Model** ```typescript reporting_generate_financial_statements({ period: "2024-Q1", data: { revenue: 2500000, cogs: 1500000, operatingExpenses: 600000, interest: 50000, taxes: 84000, depreciation: 100000, capex: 200000, workingCapitalChange: -50000, dividends: 100000, beginningCash: 800000 }, comparativePeriod: "2023-Q1", generateExcel: true }) // Generates: // - Income Statement with margins // - Balance Sheet with ratios // - Cash Flow Statement (indirect method) // - Key metrics dashboard ``` ### Chapter 8: Rental Property Analysis **Investment Property Evaluation** ```typescript rental_calculate_noi({ propertyId: "123-Main-St", year: 2024, monthlyRent: 25000, occupancyRate: 0.92, operatingExpenses: { propertyTax: 35000, insurance: 15000, maintenance: 20000, management: 30000, utilities: 10000 } }) // NOI Calculation: // Gross Rental Income: $300,000 // Vacancy Loss: ($24,000) // Effective Income: $276,000 // Operating Expenses: ($110,000) // Net Operating Income: $166,000 // Cap Rate (if value = $2M): 8.3% ``` --- ## Part III: Advanced Analytics & Modeling ### Chapter 9: Rolling Forecast Models **13-Week Cash Flow Forecast** ```typescript analytics_13_week_cash_flow({ startDate: "2024-01-01", beginningCash: 2000000, revenueStreams: [ { name: "Subscription Revenue", weekly: [180000, 185000, 190000], // Pattern continues collectionDays: 30, badDebtRate: 0.02 }, { name: "Professional Services", weekly: [50000, 45000, 60000], collectionDays: 45, badDebtRate: 0.03 } ], expenses: [ { category: "Payroll", weekly: 150000, timing: "weekly" }, { category: "Rent", amount: 100000, timing: "monthly", dayOfMonth: 1 } ], creditFacility: { limit: 500000, currentDrawn: 0, interestRate: 0.08 } }) // Output: // - Weekly cash position forecast // - Borrowing requirements identified in weeks 7 and 11 // - Recommended actions: Accelerate collections or delay payables // - Minimum cash: $125,000 (Week 11) // - Credit facility utilization peaks at $375,000 ``` ### Chapter 10: DCF Valuation **Company Valuation Model** ```typescript analytics_dcf_valuation({ // Historical financials currentRevenue: 50000000, currentEBITDA: 10000000, // Projection assumptions projectionYears: 5, revenueGrowthRates: [0.20, 0.18, 0.15, 0.12, 0.10], ebitdaMargins: [0.20, 0.21, 0.22, 0.23, 0.24], // DCF inputs discountRate: 0.12, // WACC terminalGrowthRate: 0.03, // Other assumptions capexAsPercentOfRevenue: 0.04, nwcAsPercentOfRevenue: 0.10, taxRate: 0.21, generateExcel: true }) // Valuation Output: // Enterprise Value: $165,000,000 // Less: Net Debt: ($20,000,000) // Equity Value: $145,000,000 // // Sensitivity Analysis: // WACC 11%: $178M | WACC 13%: $153M // Terminal Growth 2.5%: $158M | 3.5%: $173M ``` ### Chapter 11: Scenario Analysis **Strategic Planning Model** ```typescript analytics_scenario_analysis({ baseCase: { revenue: 100000000, growthRate: 0.10, profitMargin: 0.15, capexIntensity: 0.05 }, scenarios: [ { name: "Economic Recession", adjustments: { growthRate: -0.05, profitMargin: 0.10, probability: 0.25 } }, { name: "Market Expansion Success", adjustments: { growthRate: 0.25, profitMargin: 0.18, probability: 0.30 } }, { name: "Status Quo", adjustments: {}, probability: 0.45 } ], yearsToProject: 3, generateExcel: true }) // Weighted Outcome: // Expected Revenue Year 3: $142M // Expected EBITDA Year 3: $21.3M // Value at Risk (95% confidence): ($8.5M) // Upside Potential (95% confidence): $34.2M ``` ### Chapter 12: Executive Dashboards **C-Suite KPI Dashboard** ```typescript analytics_executive_dashboard({ kpis: [ { name: "Revenue Run Rate", current: 120000000, target: 150000000, category: "financial", importance: "high" }, { name: "EBITDA Margin", current: 0.22, target: 0.25, category: "financial" }, { name: "Customer Acquisition Cost", current: 1500, target: 1200, category: "operational" }, { name: "Cash Runway", current: 18, // months target: 24, category: "liquidity" } ], period: "2024-Q1", comparePeriod: "2023-Q4", generateVisualizations: true }) // Dashboard includes: // - Traffic light indicators (Red/Yellow/Green) // - Trend sparklines // - YoY and QoQ comparisons // - AI-generated insights: "CAC trending unfavorably, consider optimizing marketing spend" ``` --- ## Part IV: Enterprise Risk Management ### Chapter 13: Monte Carlo Simulations **Project Risk Assessment** ```typescript analytics_monte_carlo_simulation({ scenarioName: "New Product Launch ROI", iterations: 10000, // Define the model formula: "(revenue - costs - marketing) / initial_investment", // Define variable distributions variables: [ { name: "revenue", distributionType: "triangular", parameters: { min: 5000000, // Pessimistic mode: 8000000, // Most likely max: 12000000 // Optimistic } }, { name: "costs", distributionType: "normal", parameters: { mean: 3000000, stdDev: 500000 } }, { name: "marketing", distributionType: "uniform", parameters: { min: 500000, max: 1500000 } }, { name: "initial_investment", distributionType: "constant", parameters: { value: 2000000 } } ], confidenceLevels: [0.05, 0.25, 0.50, 0.75, 0.95], generateExcel: true }) // Simulation Results: // Expected ROI: 1.85 (185% return) // Standard Deviation: 0.73 // // Confidence Intervals: // 5th Percentile: 0.65 (65% return) - Worst case // 25th Percentile: 1.35 // 50th Percentile: 1.80 (Median) // 75th Percentile: 2.30 // 95th Percentile: 3.10 - Best case // // Probability Analysis: // P(ROI < 1.0): 15% - Probability of loss // P(ROI > 2.0): 42% - Probability of exceeding target // // Value at Risk (VaR 95%): Project will return at least 65% ``` **Portfolio Risk Analysis** ```typescript analytics_monte_carlo_portfolio_risk({ portfolioName: "Investment Portfolio 2024", iterations: 50000, timeHorizon: 252, // Trading days assets: [ { name: "US Equities", allocation: 0.40, expectedReturn: 0.10, volatility: 0.15, distribution: "normal" }, { name: "Corporate Bonds", allocation: 0.30, expectedReturn: 0.05, volatility: 0.08, distribution: "normal" }, { name: "Real Estate", allocation: 0.20, expectedReturn: 0.08, volatility: 0.12, distribution: "lognormal" }, { name: "Commodities", allocation: 0.10, expectedReturn: 0.06, volatility: 0.20, distribution: "student_t", degreesOfFreedom: 5 // Fat tails } ], correlations: [ [1.00, 0.15, 0.30, -0.10], // Equities [0.15, 1.00, 0.20, -0.05], // Bonds [0.30, 0.20, 1.00, 0.25], // Real Estate [-0.10, -0.05, 0.25, 1.00] // Commodities ], riskMetrics: ["VaR", "CVaR", "maxDrawdown", "sharpeRatio"] }) // Portfolio Risk Metrics: // Expected Annual Return: 7.8% // Portfolio Volatility: 9.2% // // Value at Risk (95% confidence): // 1-Day VaR: -$1,450,000 (on $100M portfolio) // 1-Month VaR: -$6,800,000 // // Conditional VaR (Expected Shortfall): // CVaR (95%): -$2,100,000 // // Maximum Drawdown (95th percentile): -12.5% // Sharpe Ratio: 0.85 // // Stress Test Results: // 2008 Crisis Scenario: -23.4% // COVID-19 Scenario: -18.2% // Rising Rates Scenario: -8.7% ``` ### Chapter 14: Sensitivity Analysis **Business Model Sensitivity** ```typescript analytics_sensitivity_analysis({ baseModel: { revenue: 10000000, cogs: 6000000, opex: 2500000, taxRate: 0.21 }, sensitivityVariables: [ { name: "revenue", range: [-0.20, -0.10, 0, 0.10, 0.20], // ±20% in 10% steps type: "percentage" }, { name: "cogs", range: [-0.15, -0.075, 0, 0.075, 0.15], type: "percentage" } ], outputMetric: "netIncome", generateTornadoDiagram: true, generateHeatMap: true }) // Sensitivity Results: // Most Sensitive Variable: Revenue (±$2.0M impact) // // Two-Way Sensitivity Table: // Revenue Change // COGS -20% -10% 0% +10% +20% // -15% $2.31M $2.89M $3.47M $4.05M $4.63M // -7.5% $1.97M $2.55M $3.13M $3.71M $4.29M // 0% $1.63M $2.21M $2.79M $3.37M $3.95M // +7.5% $1.29M $1.87M $2.45M $3.03M $3.61M // +15% $0.95M $1.53M $2.11M $2.69M $3.27M // // Break-even Points: // Revenue needs to decline by 27.9% to reach break-even // COGS can increase by 44.6% before break-even ``` --- ## Part V: Regulatory Compliance ### Chapter 15: ASC 606 Revenue Recognition **Software Company Revenue Recognition** ```typescript compliance_asc606_revenue_recognition({ contracts: [ { contractId: "ENT-2024-001", customerName: "Fortune 500 Corp", contractValue: 1200000, startDate: "2024-01-01", endDate: "2024-12-31", performanceObligations: [ { id: "SOFTWARE_LICENSE", description: "Perpetual software license", standAloneSellingPrice: 800000, recognitionMethod: "point_in_time", recognitionDate: "2024-01-01" }, { id: "IMPLEMENTATION", description: "Implementation services", standAloneSellingPrice: 200000, recognitionMethod: "over_time", startDate: "2024-01-01", endDate: "2024-03-31", percentComplete: 0.75 // 75% complete }, { id: "SUPPORT", description: "Annual support", standAloneSellingPrice: 200000, recognitionMethod: "over_time", startDate: "2024-01-01", endDate: "2024-12-31" } ], paymentTerms: { upfront: 600000, quarterly: 150000, terms: "Net 30" } } ], reportingPeriod: "2024-Q1", generateJournalEntries: true, generateDisclosures: true }) // ASC 606 Analysis Output: // // Step 1: Contract Identified ✓ // Step 2: Performance Obligations Identified (3) // Step 3: Transaction Price Determined: $1,200,000 // Step 4: Price Allocation: // - Software License: $800,000 (66.7%) // - Implementation: $200,000 (16.7%) // - Support: $200,000 (16.7%) // Step 5: Revenue Recognition Q1: // - Software License: $800,000 (Jan 1) // - Implementation: $150,000 (75% × $200,000) // - Support: $50,000 (3/12 × $200,000) // - Total Q1 Revenue: $1,000,000 // // Journal Entries: // Dr. Cash $600,000 // Dr. Accounts Receivable $150,000 // Cr. Revenue $1,000,000 // Cr. Contract Liability ($250,000) // // Remaining Contract Liability: $200,000 ``` ### Chapter 16: SOX Controls Testing **Section 404 Compliance Testing** ```typescript compliance_sox_controls_test({ controlPeriod: "2024-Q1", controls: [ { controlId: "REV-001", controlName: "Revenue Authorization", controlType: "preventive", frequency: "each_occurrence", keyControl: true, testParameters: { populationSize: 2500, // Total transactions riskRating: "high", confidenceLevel: 0.95, tolerableErrorRate: 0.05 } }, { controlId: "FIN-001", controlName: "Journal Entry Review", controlType: "detective", frequency: "monthly", keyControl: true, testParameters: { populationSize: 450, riskRating: "medium", confidenceLevel: 0.90 } } ], testResults: [ { controlId: "REV-001", sampleSize: 59, // Statistically calculated exceptionsFound: 1, rootCause: "Missing approval for contract modification" }, { controlId: "FIN-001", sampleSize: 25, exceptionsFound: 0 } ], generateTestingReport: true, generateManagementAssertion: true }) // SOX Testing Results: // // Control REV-001 (Revenue Authorization): // - Statistical Sample Size: 59 (based on high risk) // - Exceptions: 1 (1.7% error rate) // - Conclusion: Control Operating Effectively // - Extrapolated Error: $425,000 (not material) // // Control FIN-001 (Journal Entry Review): // - Statistical Sample Size: 25 // - Exceptions: 0 (0% error rate) // - Conclusion: Control Operating Effectively // // Overall Assessment: // - Controls Operating Effectively // - No Material Weaknesses Identified // - No Significant Deficiencies Identified // // Management Assertion: Ready for External Audit ``` ### Chapter 17: Audit Preparation **Year-End Audit Readiness** ```typescript compliance_audit_preparation({ auditPeriod: "2024-FY", materialityThreshold: 500000, areas: [ { area: "Revenue", assertions: ["existence", "completeness", "accuracy", "cutoff"], riskAssessment: "high", plannedProcedures: [ "Confirm balances with top 20 customers", "Vouch sales to shipping documents", "Test cutoff 5 days before/after year-end" ] }, { area: "Inventory", assertions: ["existence", "valuation"], riskAssessment: "medium", plannedProcedures: [ "Observe physical inventory count", "Test inventory pricing", "Review obsolescence reserve" ] } ], preparePBC: true, // Prepared by Client list generateLeadsheets: true }) // Audit Preparation Package: // // PBC List Generated: // 1. Trial Balance (all accounts) // 2. Revenue detail by customer // 3. A/R aging schedule // 4. Inventory detail by SKU // 5. Fixed asset rollforward // 6. Debt agreements and compliance certs // // Lead Sheets Created: // - Revenue leadsheet with analytics // - A/R confirmation control sheet // - Inventory rollforward with variances // // Risk Areas Identified: // - Revenue recognition for multi-element arrangements // - Inventory obsolescence reserve adequacy // - Related party transaction disclosures // // Estimated Audit Timeline: 3 weeks // Ready for Auditor Walkthrough: Yes ``` --- ## Part VI: Property Management Suite ### Chapter 18: Lease Management **Lease Expiration Analysis** ```typescript property_lease_expiration_analysis({ leases: [ { leaseId: "LEASE-001", propertyId: "BLDG-A", tenantName: "Tech Startup Inc", leaseStartDate: "2021-01-01", leaseEndDate: "2024-12-31", currentRent: 25000, // Monthly leaseType: "office", squareFeet: 5000, renewalOptions: [{ optionPeriod: 36, // months renewalRate: 27000 }] }, { leaseId: "LEASE-002", propertyId: "BLDG-A", tenantName: "Law Firm LLP", leaseStartDate: "2022-06-01", leaseEndDate: "2025-05-31", currentRent: 35000, leaseType: "office", squareFeet: 7000 } ], timeframe: "next_12_months", marketData: { averageRentPerSqFt: 65, vacancyRate: 0.08, monthsToLease: 4 } }) // Lease Expiration Analysis: // // LEASE-001 (Tech Startup Inc): // - Expires in: 9 months // - Current Rent: $25,000/month ($60/sqft annually) // - Market Rent: $27,083/month ($65/sqft) // - Below Market By: 7.7% // - Renewal Probability: 82% // - Strategy: INCREASE TO MARKET // - Recommended Action: Begin renewal discussions in 60 days // - Proposed Rent: $26,500 (6% increase) // // Financial Impact Summary: // - Total Expiring Annual Rent: $300,000 // - Revenue at Risk: $54,000 (if vacant 4 months) // - Potential Rent Increase: $18,000/year // - NPV of Renewal (3 years): $895,000 ``` ### Chapter 19: Property Investment Analysis **Commercial Property ROI Analysis** ```typescript property_investment_analysis({ property: { propertyId: "123-MAIN", propertyName: "Main Street Office Building", acquisitionPrice: 15000000, acquisitionDate: "2020-01-15", currentMarketValue: 17500000, propertyType: "office", squareFeet: 50000, units: 25, financingDetails: { loanAmount: 10000000, interestRate: 0.045, loanTermYears: 25, monthlyPayment: 55581, remainingBalance: 8900000 }, operatingMetrics: { grossRentalIncome: 2400000, // Annual operatingExpenses: 960000, netOperatingIncome: 1440000, occupancyRate: 0.92 } } }) // Investment Analysis Results: // // Return Metrics: // - Current Cap Rate: 8.23% // - Cash-on-Cash Return: 10.45% // - Total Return (including appreciation): 23.4% // - IRR Since Acquisition: 18.7% // - Monthly Cash Flow: $71,251 // // Current Position: // - Market Value: $17,500,000 // - Outstanding Debt: $8,900,000 // - Current Equity: $8,600,000 // - Equity Growth: $3,600,000 (72% increase) // // Risk Assessment: // - LTV Ratio: 50.9% (Conservative) // - DSCR: 2.16x (Strong coverage) // - Market Risk: LOW // - Break-even Occupancy: 57% // // 5-Year Projection: // - Year 1 Cash Flow: $855,000 // - Year 5 Cash Flow: $1,023,000 // - Terminal Value: $20,500,000 // - 5-Year IRR: 15.2% // // Recommendation: HOLD - Strong cash flow with appreciation potential ``` ### Chapter 20: Maintenance Management **Predictive Maintenance Analysis** ```typescript property_maintenance_analysis({ propertyId: "PORTFOLIO", maintenanceRequests: [ { requestId: "MNT-001", propertyId: "BLDG-A", requestType: "emergency", category: "hvac", description: "AC unit failure - Suite 300", requestDate: "2024-01-15", priorityLevel: 1, estimatedCost: 5000, actualCost: 5500, status: "completed", completedDate: "2024-01-16", assignedVendor: "CoolAir HVAC", tenantSatisfactionRating: 4 }, // ... additional maintenance records ], propertyUnits: 50, propertySquareFeet: 100000 }) // Maintenance Analysis Output: // // Performance Metrics: // - Total Requests YTD: 247 // - Avg Response Time: 4.2 hours // - Avg Completion Time: 18.5 hours // - Cost Per Unit: $1,847/year // - Cost Per Sq Ft: $0.92/year // - Tenant Satisfaction: 4.3/5.0 // // Category Breakdown: // - HVAC: 35% of requests, $125,000 total // - Plumbing: 28% of requests, $89,000 total // - Electrical: 20% of requests, $64,000 total // // Predictive Insights: // - HVAC systems showing increased failure rate // - Recommended: Schedule preventive maintenance Q2 // - Estimated savings from prevention: $45,000 // // Seasonal Trends: // - Peak activity: July-August (HVAC) // - Low activity: April-May // - Budget allocation should reflect seasonality ``` --- ## Part VII: Professional Reporting ### Chapter 21: Intelligent Chart Generation **Executive Chart Package** ```typescript chart_create_financial_charts({ chartType: "executive_dashboard", data: { revenue: { actual: [10, 11, 12, 13, 14, 15], // Millions budget: [10, 10.5, 11, 11.5, 12, 12.5], months: ["Jan", "Feb", "Mar", "Apr", "May", "Jun"] }, profitability: { grossMargin: [0.42, 0.43, 0.44, 0.43, 0.45, 0.46], ebitdaMargin: [0.18, 0.19, 0.20, 0.19, 0.21, 0.22], netMargin: [0.12, 0.13, 0.14, 0.13, 0.15, 0.16] }, kpis: { cashPosition: 5200000, dso: 45, // Days Sales Outstanding currentRatio: 2.1, quickRatio: 1.8 } }, intelligentInsights: true, professionalFormatting: true }) // Generated Executive Dashboard: // // Chart 1: Revenue Performance // - Waterfall chart showing variance to budget // - Trend line with R² = 0.94 // - AI Insight: "Revenue growing 5% above budget, driven by new customer acquisition" // // Chart 2: Margin Analysis // - Multi-line chart with benchmark overlay // - Shaded areas for industry quartiles // - AI Insight: "Margins expanding due to operational leverage, approaching top quartile" // // Chart 3: Cash & Liquidity // - Gauge charts for key ratios // - Traffic light indicators // - AI Insight: "Strong liquidity position, DSO improvement needed" // // Formatting Applied: // - Corporate color scheme // - Executive annotations // - Board-ready legends and labels ``` ### Chapter 22: Board Presentations **Quarterly Board Package** ```typescript reporting_generate_board_package({ period: "2024-Q1", sections: [ { title: "Financial Performance", content: "financial_statements", comparePeriods: ["2024-Q1", "2023-Q4", "2023-Q1"] }, { title: "Strategic Initiatives", content: "project_status", projects: ["Digital Transformation", "Market Expansion", "Cost Optimization"] }, { title: "Risk Assessment", content: "risk_dashboard", includeMonteCarloAnalysis: true }, { title: "Forward Outlook", content: "forecast", scenarios: ["base", "upside", "downside"] } ], executiveSummary: true, generatePDF: true }) // Board Package Contents: // // Executive Summary (1 page): // - Q1 revenue up 15% YoY to $35M // - EBITDA margin expanded 200bps to 22% // - Successfully launched Product 2.0 // - Guidance raised for full year // // Financial Performance (3 pages): // - P&L with variance analysis // - Balance sheet with ratio trends // - Cash flow and liquidity analysis // - Segment performance breakdown // // Strategic Initiatives (2 pages): // - Digital: 75% complete, on budget // - Market: Entered 3 new markets, pipeline strong // - Cost: Achieved $2M savings, tracking to $8M annual // // Risk Assessment (2 pages): // - Monte Carlo shows 85% probability of meeting guidance // - Key risks: Supply chain, talent retention // - Mitigation strategies in place // // Forward Outlook (2 pages): // - Base case: 18% growth, 23% EBITDA margin // - Probability-weighted outcome: $152M revenue // - Capital allocation priorities defined ``` --- ## Quick Reference Guide ### Essential Formulas & Calculations ```typescript // Quick NPV Check NPV = Σ(Cash Flow_t / (1 + r)^t) - Initial Investment // Quick IRR Estimate (for 3-year project) IRR ≈ (Total Cash Flow / Initial Investment)^(1/3) - 1 // Cap Rate Cap Rate = Net Operating Income / Property Value // DSCR (Debt Service Coverage Ratio) DSCR = Net Operating Income / Annual Debt Service // Current Ratio Current Ratio = Current Assets / Current Liabilities // Quick Ratio Quick Ratio = (Current Assets - Inventory) / Current Liabilities ``` ### Common Tool Patterns ```typescript // Standard Financial Analysis Pattern 1. Load historical data 2. Calculate key metrics 3. Generate projections 4. Run sensitivity analysis 5. Create visualizations 6. Export to Excel // Compliance Workflow 1. Identify requirements 2. Map controls 3. Test controls 4. Document exceptions 5. Generate reports 6. Prepare for audit // Investment Analysis Flow 1. Gather property/investment data 2. Calculate returns (IRR, NPV, Payback) 3. Assess risks 4. Run scenarios 5. Generate recommendation 6. Create board presentation ``` ### Troubleshooting Guide | Issue | Solution | |-------|----------| | Excel file not generating | Check file path permissions and ensure generateExcel: true | | Monte Carlo taking too long | Reduce iterations to 1000 for testing, then scale up | | Memory errors with large datasets | Process in batches of 10000 rows | | Formula errors in calculations | Verify all inputs are numbers, not strings | | Chart not displaying correctly | Ensure data arrays have matching lengths | ### Best Practices for Accountants 1. **Always validate inputs** - Use sample data first before full datasets 2. **Document assumptions** - Include notes in all projections 3. **Version control models** - Save iterations with timestamps 4. **Cross-check calculations** - Verify against manual calculations 5. **Maintain audit trails** - Keep source documentation linked 6. **Use appropriate precision** - Financial: 2 decimals, Ratios: 3-4 decimals 7. **Follow GAAP/IFRS** - Ensure compliance with accounting standards 8. **Regular reconciliation** - Monthly tie-outs to GL 9. **Sensitivity test everything** - ±10% minimum on key variables 10. **Peer review complex models** - Four-eyes principle for valuations --- ## Appendix: Complete Tool Reference ### Financial Tools (30+) - `financial_calculate_npv` - Net Present Value - `financial_calculate_irr` - Internal Rate of Return - `financial_calculate_loan_payment` - Loan calculations - `financial_calculate_loan_amortization` - Full schedules - `financial_depreciation_schedule` - MACRS, straight-line - `financial_break_even_analysis` - Volume and pricing - `financial_ratio_analysis` - Complete ratio suite ### Analytics Tools (15+) - `analytics_monte_carlo_simulation` - Risk simulation - `analytics_dcf_valuation` - Company valuation - `analytics_sensitivity_analysis` - What-if analysis - `analytics_13_week_cash_flow` - Short-term forecasting - `analytics_52_week_forecast` - Annual projections - `analytics_executive_dashboard` - KPI tracking - `analytics_scenario_comparison` - Multiple scenarios ### Compliance Tools (10+) - `compliance_asc606_revenue_recognition` - Revenue compliance - `compliance_sox_controls_test` - SOX testing - `compliance_audit_preparation` - Audit readiness - `tax_calculate_corporate` - Tax planning - `tax_calculate_estimated` - Quarterly estimates ### Property Tools (6+) - `property_lease_expiration_analysis` - Lease management - `property_investment_analysis` - ROI analysis - `property_maintenance_analysis` - Maintenance optimization - `property_capex_analysis` - Capital planning - `rental_calculate_noi` - NOI calculations - `rental_project_cash_flow` - Property cash flows ### Reporting Tools (12+) - `reporting_generate_financial_statements` - Full statements - `reporting_create_management_report` - Management packages - `reporting_variance_analysis` - Budget vs actual - `chart_create_financial_charts` - Intelligent charts - `excel_create_workbook` - Excel generation - `excel_update_worksheet` - Excel manipulation --- **End of Documentation** *Version 2.0.0 | Last Updated: 2024* *© Excel Finance MCP Server - Enterprise Edition*

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