|Course set (UE) / Credits (ECTS) / Track / Specialization||Module :Financial Performance Analysis : 5 ECTS.|
|Open for visitors||yes (5 ECTS)|
|Working language :||English|
|Volume of contact hours :||27 h|
|Workload to be expected by the student :||108 h|
Track : Attendance
|LEARNING GOAL 1 : Students will master state-of-the-art knowledge and tools in management fields in general, as well as in areas specific to the specialized field of management.|
|Students will identify a business organization’s operational and managerial challenges in a complex and evolving environment.|
|Students will understand state-of-the-art management concepts and tools and use them appropriately.|
|Students will implement appropriate methodologies to develop appropriate solutions for business issues.|
|LEARNING GOAL 4: Students will study and work effectively in a multicultural and international environment.|
|Students will analyze business organizations and problems in a multicultural and international environment|
After attending this course the students will identify the main financial statements and understand how to read them. They will Follow the main steps of a basic financial analysis, compute and interpret key financial indicators to assess the financial situation of the business.
The content of this course is nearly identical to the course "Essential concepts in financial analysis" and close to the course "IFRS principles: the keys to understand the financial statements" (semester A).
You are allowed to register for only one of these three courses.
- Recognize the need for effective accounting systems
- Describe the contents of financial documents (income statement, balance sheet and cash flow statement), their underlying principles and their interdependencies
- Indicate the main steps to conduct a financial analysis (profitability, efficiency value creation and risk analysis)
- Differentiate between the different key performance indicators to highlight strengths and weaknesses of a firm\'s financial situation
- Interpret the main key financial indicators used while analysing accounts
This course will be constituted of 27 hours of lecture in class.
In parallel students will complement their knowledge while using the crossknowlege materials developped specifically on "financial statements" and "financial analysis". These materials include commented slide show sessions, quiz allowing student to test their knowledge and "essentials' sheets" summarizing key concepts.
The following concepts will be covered
I General introduction
II Financial statements
1. Profit and loss statement
2. Balance sheet
3. Cash flow statement
4. Relationships between financial statements
III Financial analysis
1. The need for financial analysis
2. Profitability analysis
3. Efficiency analysis
4. Performance analysis
5. Risk analysis
6. Conclusion: How to conduct a financial analysis?
Basic knowledge in management, accounting and corporate finance
CORPORATE FINANCE THEORY AND PRACTISE
Pierre Vernimmen , Pascal Quiry , Yann Le Fur , Maurizio Dallocchio , Antonio Salvi (WILEY)
CORPORATE FINANCE second edition,
Berck, DeMarzo (PEARSON)
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