Financial Statement Analysis - Evening

The focus of this course is on the assessment of business performance through analysis of financial statements, as well as valuation of off-balance sheet obligations and commitments.

No sessions currently available. Contact client services to get the next available date.
CPE CREDITS
20.0
Analysts, investment advisers, credit analysts, compliance staff, auditors and others making investment and lending decisions.
No advance preparation required.
Students will be able to:
  • Comprehend the investment environment
  • Understanding financial reports
  • Application of financial statement ratios
  • Recognize accounting methods
  • Finding reality in reported earnings
  • Forecast financial statements
  • Determinants of return on equity
Introduction to Financial Accounting or knowledge of the financial accounting principles.
"Broad scope of subject material while still detailed for each subject. Good syllabus and handouts."
"A precise and concise tool set for analysis."
"The course focused on the big picture, rather than getting bogged down in number-crunching."
"Very good teacher!"
"The instructor was personable and able to answer all of my questions!"
Scheduling Note
There will be no class on Thursday, September 29, 2011.
Session 1
Comprehend the Investment Environment
  • Gain an appreciation of the trade-off between risk and reward
  • Under
  • Analyze external influences on financial results

  • Economic cycle
  • Industry and product life cycles
  • Pricing strategies

Session 2
Conceptual Framework for Understanding Financial Reports
  • Balance sheet
  • Income statement
  • Statement of cash flows

Application of Financial Ratios

  • Historical growth rates
  • Determinants of earnings growth
  • Measurements of financial strength

Session 3
Analysis of Assets
  • Analyze LIFO and FIFO
  • Assay depreciation methods
  • Examine capitalization versus expensing

Session 4
Analysis of Liabilities
  • Analyze balance sheet debt
  • Examine off-balance liabilities

Session 5
Finding Reality in Reported Earnings
  • Examine areas for accounting manipulation

  • Sales recognition
  • Accounts receivable
  • Inventories
  • Depreciation
  • Deferred expanses
  • Write-offs

  • Analyze profitability ratios

Session 6
Forecasting Financial Statements
  • Common form statements
  • Segment data
  • One-year projections
  • Multi-year forecasting
  • Cycle ratio analysis

Session 7
Business Combinations and Restructuring
  • Examine extraordinary and non recurring items

Session 8
Determinants of Return on Equity
  • Examine the DuPont System for determining ROE
  • Calculation of the implied growth rate

Session 9
Present Value Theory
  • Examine the dividend discount model
  • Constant growth
  • Multi-stage
  • Calculate intrinsic value
  • Analyze Warren Buffett's

Session 10
Ratio Valuation Measures
  • Price/Earnings
  • Price/Sales

Clients who register for this course will receive a complimentary 4-month subscription to FT.com. The Financial Times is the world's most respected financial newspaper, providing a broad assessment on finance, business and the industrial sector. The move to the electronic version follows an ongoing review of our environmental responsibilities as a global business and as part of the Pearson group. FT.com also has features that are not available in hard copy, such as: Special Reports, Alphaville, editor blogs, education sections and much more! Subscriptions will start within 6-8 weeks of the start of class and are limited to one subscription per client. (Please note: as of May 1, 2011, the electronic subscription replaces the hard-copy 3-month Financial Times subscription.)

Lunch is included for all students taking day classes.