Intro to Accounting and Analysis
(Online Course – learn at your own pace)
This course – with downloadable models – will teach you:
1. Build a solid foundation to interpret financial information
2. Understand the 3 primary statements and their links
3. Appreciate areas of accounting discretion
4. Develop a framework for analysing financial statements
5. ‘Clean up’ the numbers to make them more relevant
Course Intro Video
What will you learn during this course?
The core structure and flow of information in financial statements
How to interpret and analyse financial info with ratios such as ROCE
Core components of the P&L, Cash Flow Statement and Balance Sheet
The difference between cash and profit
Accounting for and analysing tangible and intangible assets
How you can use the numbers as evidence of the company’s strategy
Accounting for debt, financial instruments
Capitalising Leases – IFRS 16 what, why and how
Understanding intercompany investments and consolidation, JVs and associates
How to ‘clean up’ a set of statements ready for analysis and forecasting
Who is this course for?
The course is aimed at people working in and around financial information but with little or no formal accounting training. It can also act as a good refresher of key concepts in accounting and analysis for people who are a bit rusty.
It is ideal for non-accounting new graduate hires into all financial services firms, or for undergraduates wanting to get a head-start for internships.
It aims to teach delegates how to analyse and interpret company accounts, not how to be an accountant. Of course, there is some learning on how the statements are constructed – just enough to enable you to be able to follow through key transactions and spot areas of discretion and uncertainty. But we don’t talk debits and credits in this course!
We strongly recommend first completing our Finance for the Non-Financial Manager course if you are not from a finance background, it sets a more complete context. But if you don’t, you can still successfully complete this program.
Previous delegates include those in these job areas:
1. Financial Accounts Introduction – an overview of the primary financial statements and how they interact. Fundamental accounting concepts with a focus on matching / accruals. WE review the 4 ‘categories’ of financial transactions – Assets, liabilities. Income, expenditure.
2. Exercises on the accounting ‘flow’ – a downloadable set of 3 exercises that guide you through the links of financial transactions into the P&L and Balance sheet
3. Focus on Cash Flows – with a review of the structure of cash flow statements and how to reconcile the information to what is shown in the P&L. Another Excel exercise gives you the opportunity to continue building the complete picture of the links between the P&L, Cash Flow and balance sheet.
4. Income Statement analysis – this module starts off with a simple ‘breakdown’ of the different layers of profit (Gross, Operating, pre-tax, Net) and some non-official definitions such as EBITDA, and then starts to go into the matching concept in more detail – for example, looking at revenue recognition, CoGS and key non-cash items.
5. Balance Sheet overview – we start off with a broad overview of the valuation concepts (Cost or Value?) and then start the treatment and review of Current Assets, and into Non-Current (including Intangibles) and Liabilities (debt). The slightly more blurred topic of Provisions is covered. Of course, there are excel exercises to work through and follow.
6. Accounting for Leases – We look at some ‘bigger’ slightly more advanced issues now – starting with Lease accounting and how accounting rules can be used to ensure companies do not hide financial obligations by keeping them ‘off balance sheet’.
7. Pension obligations – Another significant area of analysis is company obligations relating to post-retirement payments (pensions and healthcare) How are these measured and treated and how does it impact on the P&L, Cash flow and Balance sheet?
8. JVs, Associates and Subsidiaries – Section 8 turns to how inter-group ownership is defined and treated in the statements, covering treatment of investments, JVs, Associate companies and Subsidiaries. This will introduce a deeper understanding of Non-controlling Interests (NCI) and Goodwill and its treatment.
9. Cleaning up the P&L– For analysis and forecasting it is common practice to ‘clean up’ a set of financial statements to remove non-recurring / unusual items (ones that either will not recur or will be hard to forecast due to their nature). This practical session sets the scene, asks you to have a go on a set of financials and then reviews the results. It’s a good way to finish off the program, pulling together all aspects of what you have learned along the way, with a focus on the P&L.
Videos – 32 videos each of 10-15 minutes long to allow flexible learning in YOUR timeframe
Exercises – 19 downloadable Excel exercises
Solutions – solution files plus video debrief from your experttutor
Learning management – access to a dashboard, summarising your progress and providing learning access
Certificate of Completion – CCT is an accredited learning provider for the Chartered Institute of Securities and Investment. Upon completion you can request a completion certificate for your learning / CPD records
Email access – to your tutor
This program is for delegates new to the world of accounting and finance – perhaps interns or junior analysis and new-hires, or non-finance mangers who want to get into more detail. No prior accounting knowledge is required but you may be using the course as a refresher.
Recommended: Our Finance for the Non-Finance Manager e-learning, if you are not a finance professional or graduate.
The videos stream real-time, so you will be required access to a good data network or broadband / Wi-Fi network. Videos compatible on Android and iOS Excel 2010 onwards for Exercises compatibility.
Intro to Accounting and Analysis
(Available as e-learning, virtual classroom, or face-to-face)
Our comprehensive and easy to follow online course will instruct and guide you to:
1. Make sense of financial jargon.
2. Understand the application and relevance of the key terms in an applied context.
3. Understand the link between financial performance and business operations.
4. Make sense of income statements, P&L summaries, cash flow statements and balance sheets.
5. Understand how businesses are valued, and how to make value-adding financial decisions.
Capital’s courses are officially recognised, enabling your employees to work towards qualifications as well as develop valuable practical skills.
CISI CPD SCHEME
The Chartered Institute for Securities & Investment (CISI) is the largest and most widely respected professional body for those who work in the securities and investment industry in the UK and in a growing number of financial centres globally.
Capital is a CISI Endorsed CPD Provider, meaning all our courses contribute CPD points to CISI members.
Your expert trainers
Greg Mayes, qualified accountant and CFA® Charterholder with 30 years in financial services
Mark Woolhouse, Co-founder of CCT with 30+ years banking and finance experience