By the end of the session, participants will be able to:
• Understand basic accounting principles.
• Explain the different types of financial reports.
• Interpret key Financial information.
• Understand the limitation of financial reports.
• Construct cash budget and pro-forma statement.
• Apply time value of money concepts to evaluate different streams of cash flow.
• Appreciate the capital budgeting process.
• Apply common capital budgeting techniques to project evaluation.
• Interpret and harness financial information in their decision making and strategic planning.
• Systematically assess the financial viability of their functions, plans and projects.
• Manage and control their budget effectively on a day-to-day basis.
Introduction, Course outline, Expectations and Takeaways
• Understanding the importance of financial statements
Analysing & Tools for Preparing Financial Statements
• Understanding Double Entry Concepts
• Recording Transactions- Journals, Cash Book, General Ledger
• Understanding the differences of Income Statement & Balance Sheet and their roles
Assumptions –Sources of information
• Understanding Relevant and achievable targets
• KPIs, Assessments relevant to company /industry
Understanding Financial Statements
• Accounting Terminology within Financial Statements
• Contents of Income Statements, Balance Sheet & Cash Flow
• Understanding Income, Balance Sheet (Assets, Liabilities & Equity)
• Understanding Cash Flows (Operating, Investing & Financing)
Analysing & Interpreting Financial Statements
• Understanding Vertical Analysis
• Understanding Ratios (Performance, Liquidity & Leverage)
Limitations of Financial statements
• Understanding the pitfalls of over relying on financial statements
• Understanding the limitations of Ratios
Planning & Budgeting
• Understand the Financial Planning Process
• Understand and apply Cash Planning concepts to prepare Cash Budget
• Understand and apply Profit Planning concepts to prepare Pro-forma Statement
Capital Budgeting & Investment Analysis
• Understand and apply time value of money concepts to evaluate different streams of cash flow
• Describe the characteristics of capital expenditure
• Describe the capital budgeting process
• Understand and apply the following capital budgeting techniques:
o Payback period
o Net present value
o Internal rate of return