Financial Analysis
Financial Analysis
Course Description
This course provides a thorough introduction to financial analysis, covering the fundamental tools and concepts used to evaluate business performance and financial health. It is intended for students in finance, accounting, and business management, focusing on practical applications and real-world financial decision-making.
Course Objectives
- Understand the key concepts and tools of financial analysis.
- Learn to analyze financial statements to assess organizational performance.
- Develop skills to make informed financial decisions based on analysis.
- Explore the impact of financial analysis in strategic planning and investment decisions.
Course Modules
- Introduction to Financial Analysis
- Overview of financial analysis and its role in business.
- Understanding financial statements: balance sheet, income statement, and cash flow statement.
- Tools for Financial Analysis
- Ratio analysis: liquidity, solvency, profitability, and efficiency ratios.
- Trend analysis and comparative financial statements.
- Valuation Fundamentals
- Time value of money concepts: present and future value calculations.
- Basics of capital budgeting: NPV, IRR, and payback period.
- Financial Forecasting and Modeling
- Techniques for projecting financial statements and business forecasting.
- Building basic financial models for valuation purposes.
- Risk Analysis in Finance
- Understanding risk and return: the concept of portfolio theory.
- Introduction to risk management techniques.
- Investment Decision Making
- Criteria for investment decisions in financial projects.
- Case studies on capital investment analysis and decision-making processes.
- Capstone Project
- Applying financial analysis to a real or simulated business scenario.
- Preparation of a comprehensive financial analysis report, including recommendations for future actions.
Assessment Methods
- Quizzes and exams to assess understanding of theoretical concepts.
- Hands-on projects involving financial statement analysis and report writing.
- Final capstone project presentation and report submission.
This course outline is designed to provide trainee with a foundational understanding of financial analysis, preparing them for more advanced studies in finance or careers in financial management.