Financial Statement Analysis – Ratio Analysis
All LevelsFinance & AccountingFinancial Statement

Financial Statement Analysis – Ratio Analysis

Master the Art of Financial Statement Analysis: Unlocking Insights through Vertical, Horizontal, and Ratio Analysis

Created by Robert (Bob) Steele
24.5 hours
Video Content
139
Lectures
85,956
Students
4.6
Rating
4.6
(85,956 students enrolled)

What you'll learn

Analyze financial statements using vertical, horizontal, and ratio analysis, gaining deep insights for informed decision-making.
Apply vertical analysis to compare financial data as percentages of a common base figure, facilitating meaningful comparisons across companies.
Utilize horizontal analysis to assess trends, changes, and progress in financial performance over time.
Evaluate liquidity ratios (e.g., current ratio, quick ratio) to assess a company's short-term solvency and ability to meet obligations.
Analyze efficiency ratios (e.g., inventory turnover, accounts receivable turnover) to evaluate operational effectiveness and resource utilization.
Calculate and interpret profitability ratios (e.g., gross margin, return on assets) to assess a company's financial performance and profitability.
Assess solvency ratios (e.g., debt-to-equity ratio, times interest earned) to evaluate a company's long-term financial stability and ability to repay debt.
Interpret market prospects ratios (e.g., price-earnings ratio, dividend yield) to assess investor sentiment and market perception.
Apply ratio analysis to evaluate a company's financial health, strengths, weaknesses, and potential risks.
Understand the components of a comprehensive financial statement analysis report and effectively communicate findings.

Course Content

12 sections • 139 lectures • 24:38:16 total length

Introduction

7 lectures • 36:34

Introduction08:36
PDF - 110 Purpose of Financial Analysis00:08
110 Purpose of Financial Analysis13:25
PDF - 120 Types of Analysis00:08
120 Types of Analysis09:18
+2 more lectures

Horizontal Analysis

11 lectures • 01:13:22

2 Horizontal Analysis00:57
PDF - 305 Horizontal Analysis00:08
305 Horizontal Analysis15:02
Excel Worksheet Download00:05
Worksheet- 305 Horizontal Analysis15:23
+6 more lectures

Vertical Analysis – Common-Size Statements

10 lectures • 01:13:56

3 Vertical Analysis Common-Size Statements01:14
PDF - 355 Vertical Analysis Common-Size Statements00:08
355 Vertical Analysis Common-Size Statements19:10
Excel Worksheet Download00:05
Worksheet - 355 Vertical Analysis27:33
+6 more lectures

Liquidity & Efficiency Ratios

17 lectures • 02:38:55

4 Liquidity Ratios02:05
List of Ratios00:06
PDF - 410 Liquidity Ratios Part 100:08
410 Liquidity Ratios Part 123:15
PDF - 415 Liquidity Ratios Part 200:08
+13 more lectures

Solvency Ratios

9 lectures • 39:46

5 Solvency Ratios02:19
List of Ratios00:06
PDF - 505 Solvency Ratios00:08
505 Solvency Ratios13:45
Excel Worksheet Download00:05
+5 more lectures

Profitability Ratios

9 lectures • 44:25

6 Profitability Ratios02:14
List of Ratios00:06
PDF - 605 Profitability Ratios00:08
605 Profitability Ratios13:34
Excel Worksheet Download00:05
+5 more lectures

Market Prospects Ratios

9 lectures • 33:07

7 Market Prospects Ratios02:38
List of Ratios00:06
PDF - 705 Market Prospects Ratios00:08
705 Market Prospects Ratios11:20
Excel Worksheet Download00:05
+5 more lectures

Ratio Analysis Practice Problem

7 lectures • 45:37

8 Ratio Analysis Practice Problem00:51
List of Ratios00:06
Excel Worksheet Download00:05
Worksheet 805 = Ration Analysis Practice Problem29:50
Multiple Choice Question 13 - Financial Statement Analysis05:17
+3 more lectures

Financial Statement Analysis Report

12 lectures • 01:01:54

9 Financial Statement Analysis Report02:26
902 Financial Analysis Data Online04:00
905 Financial Analysis Sample Reports Overview16:25
910 Financial Analysis Sample Reports Traditional Performance Evacuation03:38
915 Financial Analysis Sample Reports Ratio Analysis Profitability05:53
+7 more lectures

Finance Perspective – Financial Ratios

2 lectures • 49:58

305 Ratio Analysis Introduction23:43
315 DuPont System of Analysis26:15

Finance Perspective – Practice Probs - Financial Ratios

23 lectures • 06:15:54

311 Profit Margin Percent10:19
312 Return on Investment (ROI)11:46
313 Return on Assets, Total Asset Turnover, & Profit Margin13:26
314 Return on Investment, Total Asset Turnover, & Profit Margin13:55
315 Profit Margin Two Years Comparison & Income Statement09:21
+18 more lectures

Finance Perspective – Excel Probs - Financial Ratios

23 lectures • 06:37:03

311 Profit Margin Percent06:22
312 Return on Investment (ROI)13:35
313 Return on Assets, Total Asset Turnover, & Profit Margin12:03
314 Return on Investment, Total Asset Turnover, & Profit Margin11:54
315 Profit Margin Two Years Comparison & Income Statement10:56
+18 more lectures

Description

In this comprehensive course, you will gain essential skills to analyze financial statements using powerful tools such as vertical analysis, horizontal analysis, and ratio analysis. Whether you are an aspiring accountant, finance professional, or business owner, this course equips you with the knowledge and practical techniques to make informed financial decisions.

Throughout the course, we provide resources to facilitate your learning experience. You will have access to downloadable PDF files and preformatted Excel spreadsheets that aid in understanding and applying the concepts effectively.

We begin by listing and describing the fundamental tools for financial statement analysis. You will explore vertical analysis, which presents financial data as percentages of a common base figure, enabling you to compare companies of different sizes. Additionally, we dive into horizontal analysis, a method used to compare financial data and performance of a company across time, providing valuable insights into its progress and trends.

The course continues with an in-depth exploration of ratio analysis, a common practice in financial statement analysis. You will learn about liquidity ratios, solvency ratios, profitability ratios, and market prospects ratios. Through comprehensive explanations, calculations, and analysis, you will gain a deep understanding of each ratio category and its relevance in evaluating a business's financial performance.

We examine liquidity and efficiency ratios, enabling you to calculate and analyze current ratios, acid-test ratios, and accounts receivable ratios. Furthermore, we explore solvency ratios, covering debt ratios, equity ratios, debt-to-equity ratios, and times interest earned, providing insights into a company's long-term financial stability.

Profitability ratios are another critical aspect covered in the course. You will learn to calculate and analyze profitability ratios, including profit margin ratio, gross margin ratio, return on total assets, return on equity, book value per common share, and earnings per share. These ratios provide valuable information about a company's ability to generate profits and shareholder value.

Market prospects ratios are also discussed, highlighting their significance in evaluating a company's market performance. We explore price-earnings ratio and dividend yield, providing insights into investors' perception of a company's growth potential and dividend distribution.

Finally, we delve into the components of a financial statement analysis report, guiding you on how to effectively communicate your findings. We discuss the capabilities and limitations of software in financial statement analysis, emphasizing the importance of human judgment and critical thinking in the interpretation of results.

Join us on this exciting journey to master the art of financial statement analysis. Enroll today and unlock the tools and techniques that will empower you to make informed decisions based on insightful financial analysis.

Who this course is for:

  • Accounting and finance professionals seeking to enhance their skills in financial statement analysis and deepen their understanding of key ratios and analytical techniques.
  • Business owners, entrepreneurs, and managers who want to make informed decisions based on a thorough analysis of financial statements.
  • Undergraduate and graduate students studying accounting, finance, or related fields who wish to strengthen their knowledge and practical application of financial statement analysis.
  • Individuals interested in personal finance and gaining the skills to evaluate and interpret financial statements for making sound financial decisions.
  • Investors and financial analysts who want to enhance their ability to assess company performance and make informed investment decisions.
  • Anyone with a keen interest in understanding the financial health and performance of companies through the analysis of financial statements.

This course includes:

  • 24.5 hours on-demand video
  • 5 articles
  • 50 downloadable resources
  • Access on mobile and TV
  • Full lifetime access
  • Certificate of completion

Instructor

Robert (Bob) Steele

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