Understanding Financial Statements

You'll learn

• How to understand and analyse three key financial reports:

• The Balance Sheet (Statement of Financial Position)
• The Income Statement (Statement of Financial Performance)
• The Statement of Cash Flow

You'll be able to

• Better understand the performance of your business.
• Help recognise business strengths and weaknesses through understanding its financial statements.
• Build your credibility and career prospects through improved financial literacy.

Course outline

• Accounting basics
• The accounting process
• Account categories
• The accounting equation
• The balance sheet
• What is a balance sheet?
• Balance sheet classifications
• Constructing a balance sheet – activity
• The income statement
• What is an income statement?
• Income statement classifications
• Net profit or loss
• Constructing an income statement
• Balance sheet and income statement
• Completing the income statement
• The statement of cash flows
• What is a statement of cash flows?
• Review of cash flow movements
• Constructing a statement of cash flows
• Constructing a cash flow activity
• Non-current assets and depreciation
• Non-current assets
• What is depreciation?
• Calculating depreciation
• Straight – line method
• Diminishing value method

AU$99