The Analysis of Corporate Financial Information (P00238)

? Credit Points : 20 ? SCQF Level : 11 ? Acronym : SBE-P-ACFI

The course aims to allow participants to analyse financial statements of corporation from around the world, and to show the links between accounting statements, valuation methods and investment analysis. Participants will be comfortable reading financial statements, calculating and understanding accounting ratios, extracting accounting information to make forecasts and valuations. Participants will also gain an understanding of the limitations of financial statements and methods for evaluating the quality of these statements.

Syllabus:

Weeks 1 &2:
Financial Statements
Form and content of financial statements

Income Statement
Balance Sheet
Cashflow Statement

Constructing and understanding financial statements
Basic accounting concepts

Ratio Analysis

Week 3:
Fair Value

Week 4:

Rationale, drivers and perspectives for financial accounting: economic, informational, social and institutional

Week 5:
International harmonisation of accounting: conceptual frameworks, standards and practice

Week 6:
Economic approaches to asset valuation and income theory

Week 7:
Earnings management

Week 8:
Accounting conservatism

Week 9:
Informational perspectives, forecasting models, signalling and the value of information

Week 10: Valuation models

Entry Requirements

? Pre-requisites : PGs only

Subject Areas

Home subject area

Common Courses (School of Business and Economics), (School of Business and Economics, Schedule H)

Delivery Information

? Normal year taken : Postgraduate

? Delivery Period : Semester 1 (Blocks 1-2)

? Contact Teaching Time : 2 hour(s) per week for 10 weeks

All of the following classes

Type	Day	Start	End	Area
Lecture	Tuesday	14:00	15:50	Central

Summary of Intended Learning Outcomes

By the end of the course, students should be comfortable reading financial statements, calculating and understanding accounting ratios, extracting accounting information from reports and analysing that information with the goal of valuing securities. Students should be able to use accounting information to make simple forecasts and valuations. Students should also gain an understanding of the limitations of financial statements in investment analysis.