Financial statements, demystified. Dr. George Packer, Stanford professor, takes you through an in-depth analysis of the three key financial statements used by US companies, and shows you how to navigate through the seemingly impenetrable web of numbers to learn financial principles like a company’s value, profitability, and ability to pay bills. Video comes with a 63 page study guide that includes examples of ratio analysis, glossary of terminology, and more.
Takes you through an in-depth analysis of the three key financial statements used by US companies, and shows you how to navigate through the seemingly impentrable web-of numbers to learn financial principles like a company's value, profitability, and ability to pay bills.
Important Features
The Balance Sheet
- What does this company own?
- How much debt is it carrying?
- How much money have investors put in?
The Income Statement
- What is the sales volume?
- What kind of expense is the company incurring?
- How much money is the company earning?
- Which income figure should I look at: operating income, income before interest and taxes, or net income?
The Cash Flow Statement
- Will this company be able to pay its bills?
- Where’s the cash flow coming from?
Length: 51 minutes
Format: Available in both DVD and VHS.
Topics Covered Include:
- Introduction
- The Accounting Function
- Generally Accepting Accounting Principles (GAAP)
- The Matching Principle
- Conservation
The Balance Sheet
- Assets: Current, long-term, goodwill
- Liabilities: Current, Long Term
- Owners Equity
- The Basic Accounting Equation
The Income Statement
- Operating Segment
- Costs of Goods Sold and Inventory Accounting
- Operating Expenses
- Depreciation
- Operating Income
- Non-Operating Segment
The Cash Flow Statement
- Cash Flow from Operating Activities
- Non-Cash Charges
- Current Assets and Cash Flow
- Current Liabilities and Cash Flow
- Net Cash Provided by Operating Activities
- Cash Flows from Investing Activities
- Cash Flows from Financing Activities
Related issues discussed in the study guide include straight line, accelerated, and units of production depreciation methods; and liquidity, solvency, interest coverage, price earnings, and profitabilty rations.