2019 - Advanced Financial Statement Analysis - Liquidity, Activity, Leverage, Operating Performance, Cash Flow, Z-Score and Case Studies

An introduction to a five-part financial statement analysis model which will include:
Liquidity: How to determine the true cash position of a company by eliminating certain current asset accounts from the working capital, current ratio, and quick ratio calculations.
Activity: How to correctly interpret a company’s accounts receivable, accounts payable, and inventory turnover. The turnover calculations will then be used to determine a company’s cash conversion cycle.
Leverage: How to calculate the debt versus equity position of a business and adjust the calculation through the use of a subordination agreement.
Operating Performance: How to gauge a company’s true profitability and the difference between accrual versus cash basis income statements.
Cash Flow: Calculate, interpret, and apply cash flow models including traditional EBITDA, fixed-charge coverage, free cash flow (FCF), cash basis cash flow, and uniform credit analysis cash flow (UCA).
A review of related topics of the Z-score (bankruptcy predictor) and the sustainable growth models.
Case studies to illustrate the five-part analysis model and the correct interpretation of the financial statements.