Course Duration
16 hours, 2-day training workshop
Delivery
Face to face training or online training
Course Inclusive
Training materials & certificate of completion
Description
At the end of the 24-hour Workshop, the participants are expected to, understand the relation between management reports and effective financial management, understand the relation between financial performance analysis and operating control, have an appreciation of the processes involved in generating financial management reports, understand the rationale behind the various techniques used in reading management reports and interpreting them.
Course Content
- Leveling of Expectations
- Individual Activity: Participants’ expectations
- Write on a piece of paper the following:
- Lecturette:
- Grouping of participants, maximum of 3 members each group
- The Workshop Coverage in Perspective
- Lecturette:
- Lecturette:
- Contents and format of basic financial statements
- The concept of “Responsibility Accounting”
- Group case analysis 1
- Fun Game 1
- Lecturette:
- Planning and Budgeting
- Planning and budgeting differentiated
- Purposes and uses of a budget
- Types of budgeting
- Planning and budgeting cycle
- Revenue and collection cycle
- Purchase and disbursement cycle
- Other business cycle
- Individual Activity – Testing the cycles
- Accounting defined
- Financial vs. Managerial Accounting
- Debit/Credit vs. Increase/Decrease
- Business entity concept
- Cost concept
- Matching principle
- Single proprietorship
- Partnership
- Corporation
- Group Activity
- From Operating Activities
- From Investing Activities
- From Financing Activities
- Personnel-related
- Property-related
- Function-related (Marketing expenses vs. Administrative expenses)
- Financing-related
- Tax-related
- Profitability Analysis
- One-Statement Profitability/Vertical Ratio Analysis
- Return on Net Sales [Ratio of Net Income to Net Sales]
- Gross Profit Ratio [Ratio of Direct Costs/Cost of Sales to Net Sales]
- Ratio of Operating Expenses to Net Sales
- Ratio of major accounts or groups of accounts to Net Sales
- Total Operating Assets Turnover
- Return on Assets
- Return on Equity
- Return on Investments
- Absolute increase/decrease
- Percentage increase/decrease
- Contribution margin variance
- Sales price variance
- Sales volume variance
- Comparative Analysis
- Against budget
- Against prior period
- Against companies with comparable operations
- Group Activity 6
- Wrap up of Session 3 on profitability measurement and Q&A
- Current ratio
- Quick asset ratio
- Working capital balance
- Common size balance sheet