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Accounting Fundamentals With Excel

COURSE DESCRIPTION

This program is aimed at understanding basics of accounting, importance of financial statements, construction of journal ledger and trial balance. Participants will learn basics of the financial statements and how to analyze them together to understand the financial strength and business strength of the company using various Excel frameworks.

CERTIFICATION AWARDED

On successful completion of the program, you would be awarded the professional certification in “ACCOUNTING FUNDAMENTALS WITH EXCEL” by Moody’s Analytics and EduEdgePro.

COURSE COLLATERALS AND HIGHLIGHTS

  • Comprehensive coverage on ratio analysis and dupont analysis to understand financial and business strength of a company
  • Excel models for ratio analysis
  • Spreadsheets of interlinked balance sheet, profit & loss and cash flow statements.
  • Exhaustive reading material covering detailed 4 sections outlined below

COURSE OBJECTIVES

  • To be able to interpret and analyze the three financial statements to assess the financial position of the organization
  • You will know how to create three financial statements
  • Proficient in analyzing financial position of the company
  • Understand working capital management, inventory valuation and breakeven analysis
  • Rich learning experience through case studies

WHO SHOULD ATTEND

This course is aimed at those who wish to explore the more advanced aspects of Accounting Fundamentals to build a career in the below areas:

  • Corporate Finance
  • Accounting and Finance
  • Equity Research
  • Corporate Banking
  • Investment Banking
  • Financial Analytics
  • Audit
  • Due diligence
  • Investment Advisory Firm

Fast Facts

Certified by : Moody’s Analytics and EduEdgePro

Broad Coverage:
  • Basics of Accounting
  • Construction of journal, ledger and trial balance
  • Understanding and Analyzing Balance Sheet & its components
  • Understanding and Analyzing Income Statement & its components
  • Understanding and Analyzing Cash Flow Statements & its components
  • Ratio analysis & DuPont Analysis
  • Basics of Working Capital
  • Inventory Valuation Techniques
  • Financial Reporting and Internationalm Accounting Standards

DETAILED CURRICULUM

Basics of Accounting & Double Entry Book Keeping

The objective of this section is to understand basics of accounting & accounting principles. The participant will learn the construction of journal ledger and trial balance. The three financial statements namely balance sheet, profit and loss and cash flow statements are discussed in brief.

Basics of Accounting
  • What is accounting
  • Why are financial reports important
  • Key Accounting Principles
  • Construction of journal, ledger and trial balance
  • Broad purpose of financial statements
  • International Standards for Accounting

Understanding Financial Statements and Analysis

This section further builds on the three financial statements. It focuses on explaining components of all the financial statements and their meaning in detail. The participant will also learn how to interpret the three financial statements.

Balance Sheet Basics
  • Purpose of B/S
  • Assets- non current , current
  • Equity and Balance Sheet
  • B/S Example- real world case study- reading and interpretation
Income Statement
  • Purpose of Income Statement
  • Basic Components of P&L
  • Meaning of several items on P&L
  • Read and interpret real-world income statements
Cash Flow Statements
  • Purpose of Income Statement
  • Basic Components of cash Flow statement
  • Meaning of several items on cash flow statements
  • Construction of CFS using Excel
  • Analysis and real world case study on construction and analysis of CFS

Working Capital, Inventory and Ratio Analysis

This section is focused on explaining how the three statements are linked together. The participant will learn in detail how to do ratio analysis and du pont analysis (three steps and five step). Basic concepts of inventory valuation, working capital management and breakeven analysis are also covered.

Basics of Working Capital
  • Introduction to Working Capital
  • Factors determining working capital requirements
  • Working capital estimation & analysis
  • Financing of working capital
Inventory Valuation Techniques
  • FIFO
  • LIFO
  • Weighted Average Cost
Ratio analysis & DuPont Analysis
  • Liquidity ratios which will include current ratio, acid test, quick ratio etc.
  • Activity Ratios which will include account receivable turnover, inventory turnover, total asset turnover etc.
  • Coverage Ratios which will include debt service coverage ratio, interest coverage ratio, debt to equity etc.
  • Profitability Ratios : Return on sales, return on assets, return on shareholder’s equity
  • Market Ratio: earnings per share, book value per share, price to equity etc.
  • Three step and five step Du Pont analysis

Advanced Accounting Topics

This section covers in-depth aspects of advanced analysis of key Accounting concepts as well as International Accounting standards and Financial Reporting. We also implement a detailed case study in Excel.

Advanced Analysis of Key elements
  • Analysis of Depreciation and Impairment
  • Deferred and Prepaid Taxes and Implications
  • Long term and short term Liabilities
  • Financial Leases
  • Inventory Analysis
Financial Reporting
  • International Accounting Standards
  • IFRS
  • US GAAP
  • IND-AS
  • Accounting for Derivatives and Hedging