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In this comprehensive course, you will gain essential skills to analyze financial statements using powerful tools such as vertical analysis, horizontal analysis, and ratio analysis. Whether you are an aspiring accountant, finance professional, or business owner, this course equips you with the knowledge and practical techniques to make informed financial decisions.
Throughout the course, we provide resources to facilitate your learning experience. You will have access to downloadable PDF files and preformatted Excel spreadsheets that aid in understanding and applying the concepts effectively.
We begin by listing and describing the fundamental tools for financial statement analysis. You will explore vertical analysis, which presents financial data as percentages of a common base figure, enabling you to compare companies of different sizes. Additionally, we dive into horizontal analysis, a method used to compare financial data and performance of a company across time, providing valuable insights into its progress and trends.
The course continues with an in-depth exploration of ratio analysis, a common practice in financial statement analysis. You will learn about liquidity ratios, solvency ratios, profitability ratios, and market prospects ratios. Through comprehensive explanations, calculations, and analysis, you will gain a deep understanding of each ratio category and its relevance in evaluating a business’s financial performance.
We examine liquidity and efficiency ratios, enabling you to calculate and analyze current ratios, acid-test ratios, and accounts receivable ratios. Furthermore, we explore solvency ratios, covering debt ratios, equity ratios, debt-to-equity ratios, and times interest earned, providing insights into a company’s long-term financial stability.
Profitability ratios are another critical aspect covered in the course. You will learn to calculate and analyze profitability ratios, including profit margin ratio, gross margin ratio, return on total assets, return on equity, book value per common share, and earnings per share. These ratios provide valuable information about a company’s ability to generate profits and shareholder value.
Market prospects ratios are also discussed, highlighting their significance in evaluating a company’s market performance. We explore price-earnings ratio and dividend yield, providing insights into investors’ perception of a company’s growth potential and dividend distribution.
Finally, we delve into the components of a financial statement analysis report, guiding you on how to effectively communicate your findings. We discuss the capabilities and limitations of software in financial statement analysis, emphasizing the importance of human judgment and critical thinking in the interpretation of results.
Join us on this exciting journey to master the art of financial statement analysis. Enroll today and unlock the tools and techniques that will empower you to make informed decisions based on insightful financial analysis.
Horizontal Analysis
Vertical Analysis – Common-Size Statements
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82 Horizontal Analysis
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9PDF - 305 Horizontal Analysis
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10305 Horizontal Analysis
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11Excel Worksheet Download
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12Worksheet- 305 Horizontal Analysis
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13PDF - 310 Trend Analysis
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14310 Trend Analysis
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15Excel Worksheet Download
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16Worksheet - 310 Trend Percents
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17Multiple Choice Question 2 - Financial Statement Analysis
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18Accounting Comic Break
Liquidity & Efficiency Ratios
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193 Vertical Analysis Common-Size Statements
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20PDF - 355 Vertical Analysis Common-Size Statements
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21355 Vertical Analysis Common-Size Statements
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22Excel Worksheet Download
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23Worksheet - 355 Vertical Analysis
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24Excel Worksheet Download
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25Worksheet - 357 Common Size Financial Statements
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26Multiple Choice Question 3 - Financial Statement Analysis
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27Multiple Choice Question 4 - Financial Statement Analysis
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28Discussion Question 1 - Financial Statement Analysis
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29Accounting Comic Break
Solvency Ratios
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304 Liquidity Ratios
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31List of Ratios
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32PDF - 410 Liquidity Ratios Part 1
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33410 Liquidity Ratios Part 1
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34PDF - 415 Liquidity Ratios Part 2
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35415 Liquidity Ratios Part 2
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36Excel Worksheet Download
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37Worksheet - 410 Liquidity and Efficiency Ratios
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38PDF - 420 Current ratio, quick or acid ration, and working capital-Accounting
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39420 Current ratio, quick or acid ration, and working capital-Accounting
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40Excel Worksheet Download
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41Worksheet - 420.10 Current ratio, quick ratio, acid-test ratio, working capital
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42Worksheet - 420.20 Current ratio, quick ratio, acid-test ratio, working capital
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43Worksheet - 420.30 Current ratio, quick ratio, acid-test ratio, working capital
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44Multiple Choice Question 5 - Financial Statement Analysis
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45Multiple Choice Question 6 - Financial Statement Analysis
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46Discussion Question 2 - Financial Statement Analysis
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47Accounting Comic Break
Profitability Ratios
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485 Solvency Ratios
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49List of Ratios
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50PDF - 505 Solvency Ratios
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51505 Solvency Ratios
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52Excel Worksheet Download
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53Worksheet - 505 Solvency Ratios
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54Multiple Choice Question 7 - Financial Statement Analysis
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55Multiple Choice Question 8 - Financial Statement Analysis
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56Discussion Question 3 - Financial Statement Analysis
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57Accounting Comic Break
Market Prospects Ratios
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586 Profitability Ratios
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59List of Ratios
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60PDF - 605 Profitability Ratios
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61605 Profitability Ratios
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62Excel Worksheet Download
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63Worksheet - 605 Profitability Ratios
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64Multiple Choice Question 9 - Financial Statement Analysis
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65Multiple Choice Question 10 - Financial Statement Analysis
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66Discussion Question 4 - Financial Statement Analysis
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67Accounting Comic Break
Ratio Analysis Practice Problem
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687 Market Prospects Ratios
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69List of Ratios
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70PDF - 705 Market Prospects Ratios
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71705 Market Prospects Ratios
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72Excel Worksheet Download
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73Worksheet - 705 Market Prospects
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74Multiple Choice Question 11 - Financial Statement Analysis
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75Multiple Choice Question 12 - Financial Statement Analysis
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76Discussion Question 5 - Financial Statement Analysis
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77Accounting Comic Break
Financial Statement Analysis Report
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788 Ratio Analysis Practice Problem
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79List of Ratios
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80Excel Worksheet Download
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81Worksheet = Ration Analysis Practice Problem
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82Multiple Choice Question 13 - Financial Statement Analysis
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83Multiple Choice Question 14 - Financial Statement Analysis
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84Discussion Question 6 - Financial Statement Analysis
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85Accounting Comic Break