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• 17:02, 6 January 2022 79.68.147.222 talk created page Circular logic (Created page with "Financial models commonly include circular logic. For example, if a business earns interest on its cash balance, is accumulating excess cash that the interest is simply adding to, and the interest is based on the average cash balance in each model period (the average of the opening and closing balances), there is circular logic: # the closing cash balance is dependent on the net cash flow in the period; # the net cash flow in the period is dependent on the interest earn...") Tag: Visual edit