COURSE OUTLINE
Financial Statements
- Overview of Corporate Financial Statements
- The Company Annual Report
- Directors Report
- Audit Opinion
- Accounting Policies
- Overview of Corporate Financial Statements
The Income Statement
- Lay out of Income Statement
- EBITDA, EBIT
- Effect of Depreciation and Amortisation policies on reported profits
- Nature of capitalised costs and effect on reported profitability
- Earnings per share (EPS), Headline Earnings per share (HEPS), Basic and Diluted
- Ratios: Margins, Leverage, Interest Cover
- Lay out of Income Statement
The Balance Sheet
- Layout of Balance Sheet
- Nature and treatment of Goodwill in the Balance Sheet
- Capital Structure of Company
- Cost of Equity and Weighted Average Cost of Capital (WACC)
- Ratios: Gearing, Debtors Days, Creditor Days, Stock Turn
- Layout of Balance Sheet
The Cash Flow Statement
- Layout of Cash Flow Statement
- Connection to Balance Sheet and Income statement
- Working Capital Changes
- Cashflow Statement ratios, Testing EBITDA
- Layout of Cash Flow Statement
- Creative Accounting
- Income Statement
- Sales/Turnover recognition
- EBITDA
- Depreciation & Amortisation
- Capitalisation of Costs
- Balance Sheet
- Accounting for Goodwill
- Intangibles
- Fixed Asset Revaluations
- Valuing Stock
- Valuing Cash
- Sales/Turnover recognition
- Income Statement
Non-endorsement
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