Course Outline
The 'Why & How' of Financial Numbers
- Clarifying commonly used finance and accounting terms, including:
- Are there financial regulations governing the accounting and finance sectors?
- Overview of accounting methods, specifically Cash vs. Accrual basis
- Introduction to Financial Statements, covering:
- Income Statement
- Balance Sheet
- Cash Flow Statement
- Statement of Changes in Equity
- The relationships and data flow among all Financial Statements
Revenue & Expenditure
- What constitutes revenue and what is excluded from it
- Cash vs. Revenue: Why these concepts differ
- Various types of expenditure recorded in financial transactions
- Understanding Cost of Goods Sold – its importance and impact on profitability
Income Statement
- A detailed review of the Income Statement and its line items
- Grasping key terminology used in the Income Statement
- Types of profits: Gross Profit, Operating Profit, and Net Profit
- Understanding EBIT and EBITDA and their significance
- Handling extraordinary items in Income Statement analysis
Balance Sheet
- Key terms such as Assets, Liabilities, and Equity
- Understanding asset nature and classification into Current and Non-Current assets
- Intangible assets: definition and recording in the balance sheet
- Comprehending Depreciation & Amortization
- Classifying Current & Non-current liabilities
- Components of Equity, Retained Earnings, and Reserves
Cash Flow Statement
- Understanding the structure of the Cash Flow Statement
- Classifying cash flows by activity type
- Cash Flow from Operating Activities
- Cash Flow from Investing Activities
- Cash Flow from Financing Activities
- Linking cash flows from these three activities and relating business financing sources to them
Financial Statement Analysis – Ratio Analysis
- Objectives of Financial Analysis
- Types of financial ratios
- Calculation and interpretation of various financial ratios, including:
- Profitability ratios
- Liquidity ratios
- Solvency ratios
- Investor ratios
- Limitations of ratios in financial analysis
- Using ratios to assess a company’s financial health
Introduction to Budgeting
- The vital role of financial budgets in business management
- Understanding the budget cycle
- Long-run vs. short-run budgets
- Budgeting methodologies: static, flexible, zero-based, and others
Investment Appraisal & Project Evaluation Techniques
- Demystifying the Time Value of Money concept
- Calculating discounted cash flows using the time value of money
- Distinguishing between relevant and irrelevant cash flows for new projects
- Introduction to investment appraisal techniques, including:
- Net Present Value (NPV)
- Internal Rate of Return (IRR)
- Payback Method
- Making project decisions on accepting or rejecting new initiatives
Testimonials (4)
Meeting efficiency is something that's fairly "basic", but not thought about a lot and with really large implications on people/company time. Understanding these best practices and keeping them top-of-mind will be of immediate help.
Dan Moffatt - Chris Courtemanche
Course - Personal Efficiency and Managing Meetings
Provided and explained very clearly a lot of foundational concepts, which fit well with the team's level of learning. The exercises were very engaging and I believe my team were comfortable and participated very well. Coordinating with the trainer as well was very seamless.
Christlan Tolentino - Canadian Blood Services
Course - Critical Thinking
the exercises and the way the trainer was explaining
Sorana Haiduc - Ness
Course - Stress Management and Prevention
1. Methodology 2. Its structure and usability 3. Real, practical examples and excercises