Answer: Yes. Financial modelers must always be cognizant of the laws that are specific to their industry and the models they are developing. In addition, modelers should also be aware of accounting rules that apply to the country they are developing the model for. For example, if you are developing a financial model in the U.S., you need to know the rules of U.S.’s Generally Accepted Accounting Principles (GAAP) and what GAAP allows for things like acquisition modeling, the tax treatment of certain expenses, etc. You should also account for other government laws and regulations that apply to your industry. While you do not have to know all these laws, be sure you speak to the legal and regulations specialists within your company or consult an outside source, or use the Internet for free information on relevant laws.
Do You Want to Complete A Financial Modeling Training Course? If you are looking to learn more about completing a financial modeling training program, you should check out our self-paced financial modeling training program on the BusinessTraining.com platform, which is called the Certified Financial Modeling Specialist (CFMS).