Key Course Coverage
MODULE 1: General Introduction to Financial Statement Analysis
- o         Financial Statements Introduction
- o         Components of Financial Statements
- o         Users of Financial Statements
- o         Qualities of Financial Statements
- o         Usefulness of Financial Statements ratios.
MODULE 2: General Company Analysis
- o         Profitability Analysis
- o         Liquidity / Solvency Analysis
- o         Investment Analysis
- o         Management Efficiency Analysis
- o         Gearing & Capital Structure Analysis
- o         Financial Stability Analysis.
MODULE 3: Banks Financial Statement Analysis
- o         Capital Adequacy Analysis
- o         Asset Quality Analysis
- o         Management Efficiency Analysis
- o         Earnings Analysis
- o         Liquidity Analysis
- o         Other Issues in Bank Analysis
- o         Analyzing the financial performance of other Financial Institutions.
MODULE 4: Qualitative Issues In Financial Statement Analysis
- o         Limitation of Ratios
- o         Basis of Ratios Comparison
- o         Qualitative Factors To Be Considered In Financial Statement Interpretation
- o         Competitors Ratios
- o         Tax Matters and other regulatory issues
- o         Age of fixed assets
- o         Employee quality.
MODULE 5: Window Dressing of Financial Statements / Creative Accounting
- o         Looking Beyond The Figures
- o         How Companies Manipulate Financial Statements
- o         Why Companies Manipulate Financial Statements
- o         Discovering Window Dressing
- o         Consequences of financial statements manipulations
- o         Auditors Roles and Limitations.
MODULE 6: Predicting Business failure Using Financial Statements
- o         Why Business Fails
- o         Financial Distress & Games
- o         Predicting Corporate Failures
- o         Altman Z Score
- o         Comparative Financial Statements
- o         Base Year Financial Statements
- o         Common Size Financial Statements.
- o         Case study: creative accounting scandals