Developing Financial Acumen

panel_start Introduction panel_end

Understanding Financial Statements

Absence of financial savvy can be “career-limiting.”

Having a grasp of terms like EBITDA and net present value are important no matter where you sit on the org chart.

If one is unable to contribute to a discussion on the company’s performance, they are unlikely to advance.

Running & managing projects is not possible unless one understands the financials.

panel_start Key Takeaways panel_end

1. To understand the metrics used to evaluate managerial decisions.
2. To demonstrate an ability to connect day-to-day managerial decisions with the metrics.
3. To develop skills in using information from the financial statements to evaluate the impact of managerial decisions.
4. To understand how individual and team performance can be aligned with the KPIs and organizational goals and objectives.

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Training Course Outline:

Fundamental Financial Concepts and Terms

• Common finance terms
  • Cash flow
  • Liquidity
  • Leverage
  • Net present value
  • Tangible assets
  • And dozens more!
• The difference between cash and accrual accounting
• What every decision-maker must understand about Generally Accepted Accounting Principles
• Understanding the basic elements of a financial statement:
  • Assets
  • Liabilities
  • Equity
  • Comprehensive income
  • Revenues
  • Expenses
  • Gains and losses
• Basics for determining an organization’s financial health based on financial statements

The Ins and Outs of a Balance Sheet

• The balance sheet: A thumbnail sketch of a business
• What a balance sheet can — and can’t — tell you about a company
• Assets explained:
  • Tangible and intangible
  • Fixed and liquid
  • Real value
  • Accounts receivable
  • Inventory
• Current liabilities and current assets and equities defined
• Critical components of working capital
• Interpreting balance-sheet numbers for financial strength — and weakness

Analyzing the Profit and Loss Statement

• A P&L by any other name:
  • Income statement
  • Operating statement
  • Statement of operations
  • Profit and loss statement
• Which numbers indicate how revenue is generated
• The “cost of goods” formula and how to use it
• Understanding the role that depreciation plays
• Comparing a favorable and unfavorable P&L
• Examining a P&L statement to determine your business situation

Evaluating Financial Statements

• The purpose of the cash flow statement
• Analyzing the cash-flow statement to find out where resources are actually going
• How to recognize cash-flow problems before it’s too late
• Forecasting cash flow — and using this insight when increasing staff, purchasing and cutting costs
• Change in equity statement: What it is and how to use it
• Annual reports: Where to find the numbers that tell the real story
• Other types of financial statements you may encounter
• Compute the Financial Ratios Used by Financial Analysts to Assess:

– The Liquidity of a Business
– The Profitability of a Business
– The Risk of a Business

Critical Financial Measurement Tools and Techniques

• Tips for scanning any financial report and zeroing in on the pertinent numbers
• Calculating return on investment (ROI)
• Key financial indicators that will tell you if your organization is on the right track
• Using break-even analysis, forecasting and other financial tools to make informed decisions
• Valuable questions to ask before making any decision based on financial-statement numbers
• Important ratios that every nonfinancial manager should understand

panel_start How to Register panel_end

• Fees: Rs. 3,500/- + 18% GST Per Person 
• Please write to register@princetonacademy.co.in
• Call or WhatsApp Pankita on 9769963790 / 9769579090
• Mention the name of participant, company, contact details.
• You will Receive a Certificate of course completion
• The course structure will be just like in the face to face workshops.