Chartered Fintech Professional (CFtP) Level 1A Training Module 2: Financial Statements Analysis (Synchronous E-Learning)
About This Course
At the end of the 2-day module, participants will be able to:
• Understand general principles of revenue recognition and the matching principle of expense recognition
• Describe the elements of the income statement
• Describe the uses and limitations of the balance sheet in financial analysis
• Identify cash flow activities from operations, investments, and finance to compare them and classify cash flow items relating to one of these three categories
• Illustrate the tools and techniques used during financial analysis and their limitations
• Illustrate the accounting methods (estimates and choices) that can be used to manage earnings, cash flow, and balance sheet items
• Describe accounting warning signs and methods for detecting manipulation of information in financial reports
• Understand earnings management and evaluate earnings quality
• Describe the role of financial statement analysis in assessing the credit quality of a potential debt investment
• Detail the use of financial statement analysis in screening for potential equity investments
What You'll Learn
Before using the financial statements' data, one needs to understand how the financial statement is constructed. This module is devoted to the accounting process mechanics and critical accounting principles underlying financial statements. It aims to understand the three financial statements: the Income Statement, the Balance Sheet, and the Statement of Cash Flows, and finally guide participants in applying some basic techniques in financial statement analysis and evaluation. This is covered over 3 topics which discuss financial analysis techniques, quality of financial reporting, and evaluation and applying financial statement analysis. At the end of this module, participants should have a clear understanding of how data is constructed and analysed. Understanding the foundation on which techniques to use to analyse the data improves data communication between the data source and end-users, allowing them to be more effective and efficient.
Entry Requirements
No prerequisites, but participants are strongly encouraged to go through the assigned pre-reading materials and videos, especially if one does not have any prior learning or working knowledge in the subject matter of this Module.
If the participant intends to register for the Chartered Fintech Professional examination following the completion of this training course, do note that an undergraduate degree from a recognised university or equivalent professional qualification is a compulsory enrolment requirement.