What The Non-Financial Manager Needs To Know About Financial and Managerial Accounting
DAY ONE
Introduction to the Financial Reporting System
- Purpose and scope of course
- The financial reporting system
- The basic financial statements
- Balance sheet
- Income statement
- Statement of retained earnings
- Statement of changes in financial position
- Accounting on a cash and an accrual basis
- Reconciling earnings flows and cash flows
- The basic accounting system
Reading Corporate Annual Reports
- Concepts, models and terminology
- How to read a balance sheet
- How to read the footnotes
- How to read the income statement
- How to read the statement of changes in financial position
DAY TWO
Understanding Key Elements of Financial Statements
- Inventory
- Fixed assets
- Effects of alternative accounting methods
Financial Statement Analysis
- Understanding and using financial ratios for improved decision-making
- Liquidity ratios
- Profitability ratios
Business Unit Planning and Budgeting
- The operating budget
- The cash budget
- Performing evaluations
DAY THREE
The Financial Information System
- The behaviour of costs
- Cost analysis
- Absorption versus direct costing
- Budget and actual costs
- Benefit/cost analysis
- Exercises in relevant costs
Capital Budgeting and Investment Decisions
- Decision models and criteria
- Cost of capital
- The capital budget
- Post-implementation evaluation
- Exercises in capital budgeting