Course Outline
The Why & How of Numbers
- Demystifying commonly used finance and accounting terms including:
- Are there financial regulations governing the world of accounting and finance?
- Different accounting methods, such as Cash vs. Accrual basis
- Introduction to Financial Statements containing:
- Income Statement
- Balance Sheet
- Cash Flow Statement
- Statement of Changes in Equity
- The relationship 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
- Different types of expenditure used in recording financial transactions
- Understanding Cost of Goods Sold – Why it is important and how it impacts profitability
Income Statement
- A detailed review of the Income Statement and its line items
- Understanding key terminology used in the Income Statement
- Different types of profits, i.e., Gross Profit, Operating Profit, and Net Profit
- Understanding EBIT and EBITDA and their significance
- Identifying extraordinary items and their treatment when analyzing the Income Statement
Balance Sheet
- Key terms used in the Balance Sheet, i.e., Assets, Liabilities, and Equity
- Understanding the nature of Assets and their classification into Current and Non-Current assets
- Understanding intangible assets and their recording in the balance sheet
- Understanding Depreciation & Amortization
- How to classify Current & Non-current liabilities
- What is included in Equity, Retained Earnings, and Reserves?
Cash Flow Statement
- Understanding the structure of the Cash Flow Statement
- Different classifications of Cash flows according to activities
- Cash flow from Operating Activities
- Cash flow from Investing Activities
- Cash flow from Financing Activities
- Establishing the link between cash flows from the above three activities and how the business can relate to financing sources with the help of cash flows from different activities
Financial Statement Analysis – Ratio Analysis
- The objective of Financial Analysis
- Different types of financial ratios
- How to calculate and interpret different types of financial ratios including:
- Profitability ratios
- Liquidity Ratios
- Solvency Ratios
- Investor Ratios
- Are ratios the whole picture?
- How to use ratios to analyze a company’s financial health
Introduction to Budgeting
- How financial budgets play a vital role in managing the business
- What is the budget cycle?
- Long-run budget vs. short-run budgets
- Different budgeting methodologies including static budget, flexible budget, zero-based budgets, etc.
Investment Appraisal & Project Evaluation Techniques
- Demystifying the Time Value of Money Concept
- Using the time value of money concept to calculate discounted cash flows
- How to segregate between relevant and irrelevant cash flows when analyzing a new project
- Introduction to various investment appraisal techniques including:
- Net Present Value (NPV)
- Internal Rate of Return (IRR)
- Payback Method
- How to make project decisions regarding accepting or rejecting a new project
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
I especially appreciated the instructor’s ability to give thorough, well-explained answers to questions specific to my personal situation.
HASAN TAHA URLU - Huber Turkiye
Course - Assertiveness
the exercises and the way the trainer was explaining