GRA 6225 Financial Statement Analysis
GRA 6225 Financial Statement Analysis
Financial statement analysis has proven to be useful in a wide range of business decisions. Equity analysts use it as a foundation for their projections of the earnings potential of a company. Credit analysts use it as a tool to determine whether loans should be granted or extended.
The corporate annual report is the primary document in financial statement analysis. We will examine where to find relevant information and what it indicates about the "health of the company". The course demonstrates how financial information can be used to evaluate a company's past performance and present circumstances as well as what might transpire in the future (forecasts).
The objective of this course is to enable the students to comprehend and critically evaluate the financial information included in corporate annual reports and other sources. The students will learn financial statement analysis from the point of view of the primary and everyday users of financial statements: company managers, lenders and stock analysts.
On successful completion of this module, the student will be able to comprehend and critically evaluate the financial information included in corporate annual reports and other sources.
This course adopts a user's perspective in reviewing accounting practices, procedures and disclosure requirements. We will not discuss the mechanics that the companies go through in preparing the information included in annual reports. Instead, we will examine where to find the information and what it indicates about the performance of the company.
- The Financial Statement Analysis Process
- The Corporate Annual Report
- The Financial Statement Analysis Report
- Some Important Financial Statement Analysis Issues
- Understanding the Income Statement, the Balance Sheet and the Cash Flow Statement
- Financial Reporting Quality Analysis
- Adjusting and Reorganizing Financial Statements
- Financial Statement Analysis of Past Performance
- Simple Forecasting
The course follows a theory-case structure. First, the relevant theoretical contents are presented, and then, the students are given exercises and cases which will be either solved in class, or the solution uploaded in the form of a video. Many of these exercises and cases require the use of Excel.
Please note that while attendance is not compulsory in all courses, it is the student’s own responsibility to obtain any information provided in class.
All parts of the assessment must be passed in order to get a grade in the course.
All courses in the Masters programme will assume that students have fulfilled the admission requirements for the programme. In addition, courses in second, third and/or fourth semester can have specific prerequisites and will assume that students have followed normal study progression. For double degree and exchange students, please note that equivalent courses are accepted.
Disclaimer
Deviations in teaching and exams may occur if external conditions or unforeseen events call for this.
| Assessments |
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Exam category: Submission Form of assessment: Written submission Weight: 30 Grouping: Group (1 - 3) Duration: 2 Week(s) Comment: Retake examination spring 2023 and last retake examination autumn 2023. Exam code: GRA 62251 Grading scale: ECTS Resit: Examination every semester |
Exam category: Submission Form of assessment: Written submission Invigilation Weight: 70 Grouping: Individual Support materials:
Duration: 3 Hour(s) Comment: Retake examination spring 2023 and last retake examination autumn 2023. Exam code: GRA 62252 Grading scale: ECTS Resit: Examination every semester |
All exams must be passed to get a grade in this course.
A course of 1 ECTS credit corresponds to a workload of 26-30 hours. Therefore a course of 6 ECTS credits corresponds to a workload of at least 160 hours.