"Financial Reports are as revealing of the HEALTH OF A BUSINESS as the pulse rate and blood pressure are indicators of the HEALTH OF A PERSON."
A fundamental financial objective of all organizations is to be healthy and stable. The financial reports are the means of the company to summarize and communicate financial performance.
If all the organs and parts of the body contribute to the well-being of the person, it also follows that the different sections/departments of the company contribute to its financial condition.
Module Objectives:
At the end of the module the learner would be able to:
(1) Evaluate the asset mix and the capital structure of the company
(2) Assess the financial condition of the company by using Balance Sheet indicators
a. Liquidity
b. Cash Conversion Cycle
c. Minimum Cash Requirement
d. Leverage
e. Coverage Measures
(3) Prepare a cash flow statement and interpret its information
Program Flow
Pre-session:
Prerequisite: Attended Module 2 or have a solid background in the profitability analysis
List of Ratios and Formulas
Financial Analysis Process
Module 3 (AM session: 09:00 AM to 12:00 NN)
Vertical Analysis of the Balance Sheet
> Asset Distribution
> Capital Structure - Leverage Discussion
Analysis of the Cash Conversion Cycle
Introduction to the Cash Flow Statement
Session Break (12:00 NN to 01:29PM)
Module 3 (PM session: 01:30 PM to 04:30 PM)
Post-session: Spreadsheet
Method: Lectures, case discussions, and worksheet exercises
Duration: 6 hours | 09:00 AM to 12:00 NN & 1:30 PM to 4:30 PM (GMT +8)
Intended Audience: Officers and staff involved in Collections.
In close partnership with government, businesses, civil society, and academia, ECCP passionately works to enhance the business environment for both European and Filipino companies.