Get Global: Global Cash Flow Analysis
|
|
- Gertrude Jacobs
- 6 years ago
- Views:
Transcription
1 Get Global: Global Cash Flow Analysis Total Training Solutions Bankers Insight Group CASH FLOW NET PROFITS DON T REPAY LOANS What will the customer do with the loan proceeds? How much will your customer need to borrow? When will they be able to generate enough cash to repay the loan? 1
2 CASH FLOW Net profit line on income statement will not answer these questions Net profits are not cash; they are the result of accounting techniques and policies Cash and only Cash can repay loans OPEN DISCUSSION HOW DO YOU DEFINE CASH FLOW? WHEN DO YOU USE CASH FLOW ANALYSIS? 2
3 STATEMENT OF CASH FLOWS Shows the cash inflows and cash outflows from operating activities, investing activities and financing activities. SOURCES OF CASH FLOW OPERATING ACTIVITIES Generally includes the cash effects of transactions and other events that enter into the determination of net income. It is the cash generated or used in producing profits or losses INVESTING ACTIVITIES Generally include the cash effects of transactions involving the acquisition or disposal of fixed assets FINANCING ACTIVITIES Generally include the cash effects of transactions and other events involving creditors and owners 3
4 CASH FLOW Cash can come from: Profits Sales of assets Infusion of capital Loan proceeds Extensions of additional credit from suppliers Our challenge is to identify cash inflows/outflows, analyze what has caused them and which ones are most significant, and how future cash flow may differ from the past. SOURCES OF CASH FLOW INCOME STATEMENT Sources Sales/Revenue Other Income Gain of Sale of Assets Uses Cost of Goods Sold Operating Expenses Interest Expense Income taxes Loss on Sale of Assets and Other Expenses 4
5 SOURCES OF CASH FLOW Sources and Uses of Cash can be determined from the Balance Sheet also. It records the place cash was either generated or spent In order to determine this you must know the Rules of Cash Flow RULES OF CASH FLOW BALANCE SHEET INCREASE DECREASE SOURCE USE Asset Liability Net Worth Asset Liability Net Worth X X X X X X 5
6 CASH VS. ACCRUAL Accrual Bal Sheet Adj. Cash Flow Sales 1,000,000 (400,000) A/R 600,000 COGS (700,000) 300,000 A/P (400,000) Gross Prof 300, ,000 Oper. Exp. (200,000) 100,000 A/E (100,000) Pre-Tax Inc 100, ,000 Income Tax (34,000) 14,000 ITP (20,000) Net Income 66,000 80,000 THE IMCOME STATEMENT CAUSES THE BALANCE SHEET Income Statement Sales Cost of Goods Sold Accounts Payable Balance Sheet Accounts Receivable Inventory Operating Expenses Income Tax Expense Dividend Declared 6 Accrued Expenses Income Tax Payable Dividend Payable 6
7 Accounting Insight Case Traditional Cash Flow Net Profit 39, ,254 +Depreciation 11,911 6,430 +Interest 5,812 4,799 Available Cash Flow 57, ,483 /CPLTD + Interest 25,812 24,799 Debt Coverage Ratio 2.2x 10.2x 7
8 3 Fallacies with this approach 1. It is Income Statement Focused Only 2. It covers operations for one year only 3. We bankers think we are all that because we believe our customers will pay us first from Available Cash Flow before their Payroll and Suppliers TARGET POINTS 1 & 2 1. Sales 5,761, Accounts Receivable (128,002) 3. Cash Collected From Sales 5,633, Cost of Sales (Less: Dep. & Int.) (3,808,901) 5. Inventory 0 6. Accounts Payable (59,654) 7. Cash Paid for Production (3,868,555) 8. Cash From Trading Activity 1,764,807 8
9 TARGET POINT 3 9. Operating Exp (less Dep & Int) (1,736,461) 10. Prepaid Expenses Accrued Expenses Cash Paid For Operations (1,736,461) 13. Cash After Operations 28,346 TARGET POINT Other Income (Expenses) 39, Other Assets & Liabilities Income Tax Expense Deferred Taxes Income Taxes Payable Taxes & Other Income/Expense 39, Net Cash After Operations 67,827 9
10 TARGET POINTS 5 & Interest Expense (4,799) 22. Interest Payable Dividends Declared Dividends Payable Cash Paid for Div/ Int. (4,799) 26. Cash After Financing Costs 63, Less: Current Portion of LTD (20,000) 28. Cash After Debt Amortization 43,026 Reconciliation of Retained Earnings Beg. Retained Earn. (2008) (103,948) +Profits for ,254 Expected Ending Ret. Earn. 140,308 Actual Ending Ret. Earn. 140,308 No Change in Capital experienced 10
11 TARGET POINT Fixed Assets Change in Long Term Investments Intangibles /Other Assets Cash Paid Plant & Invest Financing Surplus/(Requirement) 43,026 Reconciliation of Net Fixed Assets Beg. Net Fixed Assets (2008) 10,437 Less: Dep. Exp. for 2009 ( 6,430) Expected Ending Net Fixed Assets 4,007 Actual Ending Net Fixed Assets 4,007 No Additions or Reductions to Fixed Assets 11
12 TARGET POINTS 8 & Short-Term Debts Long-Term Debt Common Stock Change in Retained Earn Paid In Capital Total External Financing Surplus/Requirement 43, Proof: Change in Cash 43,026 Long Term Debt Calculation Long Term Debt for ,000 + Notes Payable-Current Portion 20,000 80,000 - Long Term Debt for 2008 (80,000) No Change in Long Term Debt 0 12
13 Global Cash Flow Analysis What Is It? Business Net Cash After Operations +Personal Cash Flow - Business & Personal Debts = Global Cash Flow QUESTIONS 1. What was Mr. Smith s Cash Flow for 2009? $85, What was AI s Cash Flow for 2009? EBITDA NCAO CADA $255,483 $67,827 $43,028 13
14 QUESTION 3 What was AI s Annual Debt Service and Debt Coverage Ratio in 2009? EBITDA: 255,483 / 24,799 = 10.3x NCAO: 67,827 / 24,799 = 2.7x QUESTION 4 NCAO Accounting Services 67,827 Richard Smith 87,103 Total Cash Available 154,830 Debt Service: Accounting Services 24,799 Richard Smith 27,012 Total Debt Service 51,811 Total Debt Coverage 2.99x Net Cash After Debt Service: Accounting Services 43,028 Richard Smith 59,991 14
15 QUESTION 6 NCAO Richard Smith 87,103 Accounting Services 67,827 Add Back Rent 60,000 Cash Available 214,630 Plus: Other Tenants Income 145,347 Less: Bldg. Oper. Expenses (144,732) Net From Building: 615 Cash Available to Service Debt 215,245 QUESTION 6 Cash Available to Service Debt 215,245 Financing: Existing Personal Debts: 27,012 Existing Business Loan: 24,799 Proposed Loan: 38,712 Total Debt Service: 90,523 Debt Coverage Ratio 2.39x Global Cash Flow After Financing 125,032 15
16 Jeffery Johnson Thank You! Upcoming Webinars September 23 rd E-Sign Compliance and the Account Life Cycle September 24 th Legal Liabilities when Check Fraud Occurs Dan Heldmann TTS September 24 th Marketing and Advertising Compliance The First UDAAP Hotspot September 29 th Call Report for Banks Recent Changes, Highlights, and Pitfalls September 29 th Common Mistakes with LLCs October 2 nd Do's and Don'ts for Working with Caregivers and Fiduciaries October 6 th UCC: What You Need to Know About the Amendments October 6 th Writing an Effective Credit Memorandum October 7 th Bitcoin for Bankers October 7 th BSA for the Frontline 16
TOTAL TRAINING SOLUTIONS
TOTAL TRAINING SOLUTIONS Global Cash Flow Analysis Get Global by Understanding Global Cash Flow Jeffery W. Johnson Bankers Insight Group jeffery.johnson@bankers-insight.com 770-846-4511 September 2015
More informationFAQ: Statement of Cash Flows
Question 1: What sources are used when the statement of cash flows is being prepared, and what information does each source provide? Answer 1: The statement of cash flows is prepared differently from the
More informationFinancial Statement Overview. Introduction
Financial Statement Overview Bankers Insight Group, LLC Jeffery W. Johnson Introduction Financial Statement Analysis is the Cornerstone of a Bank s credit decision making process They report on an economic
More informationCHAPTER 12 STATEMENT OF CASH FLOWS
CHAPTER 12 STATEMENT OF CASH FLOWS Key Terms and Concepts to Know The Statement of Cash Flows reports the sources of cash inflows and cash outflow during an accounting period. The inflows and outflows
More informationChapter 6 Statement of Cash Flows
Chapter 6 Statement of Cash Flows The Statement of Cash Flows describes the cash inflows and outflows for the firm based upon three categories of activities. Operating Activities: Generally include transactions
More informationCorporate Accounting Recitation 3. June 18, 2004
15.511 Corporate Accounting Recitation 3 June 18, 2004 Why do we need CF/S? Accrual accounting is often based upon subjective judgments that can introduce measurement error and uncertainty into the reported
More informationCHAPTER 12. Statement of Cash Flows. Study Objectives
CHAPTER 12 Statement of Cash Flows Study Objectives Indicate the primary purpose of the statement of cash flows. Distinguish among operating, investing, and financing activities. Explain the impact of
More information16 Statement of Cash Flows
Chapter 16 Statement of Cash Flows Learning Objectives: Learn about the purpose of the statement of cash flows Learn about the various sections of the statement of cash flows Learn how to prepare a statement
More informationFinancial Statement Analysis. Cash Flow Statement
Financial Statement Analysis Cash Flow Statement 1 The Articulation of the Financial Statements Beginning stocks Flows Ending stocks Cash Flow Statement Beginning Balance Sheet Cash Cash from operations
More informationChapter 4. Funds-Flow Analysis and Forecasting. Overview of the Lecture. September The Statement of Cash Flows. Pro Forma Financial Statements
Chapter 4 Funds-Flow Analysis and Forecasting September 2004 Overview of the Lecture The Statement of Cash Flows Pro Forma Financial Statements 2 The Statement of Cash Flows The statement of cash flows
More informationUnderstanding The Cash Flow Statement
Financial Reporting & Analysis Understanding The Cash Flow Statement Reading - 27 www.proschoolonline.com/ 1 Components and Format of Cash Flow Statement Apple Inc. - Cash Flow Statement Year ended 26
More informationStatement of Cash Flows
May 5, 2014 Statement of Cash Flows Copyright 2008 by The McGraw-Hill Companies, Inc. All rights reserved. Today s Agenda n Cash Flow Statements n What Cash Flow Statements show us n Building a Cash Flow
More informationCASHFLOW ANALYSIS. Developed By Vin DiCara DiCara Training and Consulting Inc. PO Box 963 Brunswick, Maine
CASHFLOW ANALYSIS Developed By Vin DiCara DiCara Training and Consulting Inc. PO Box 963 Brunswick, Maine 04011 207 607 4129 vdicara@dicaratc.com Ask Questions Participate Relax and enjoy yourself Share
More informationFINANCIAL STATEMENT ANALYSIS-INTERPRETING THE NUMBERS CORRECTLY! Presented by: Osburn & Associates, LLC
FINANCIAL STATEMENT ANALYSIS-INTERPRETING THE NUMBERS CORRECTLY! Presented by: Osburn & Associates, LLC Author/ Instructor DAVID L. OSBURN, MBA, CCRA David Osburn is the founder of Osburn & Associates,
More informationACCT 101 Statement of Cash Flows Lecture Notes Chapter 12 Prof. Johnson. The statement of cash flows is a required component of financial statements.
ACCT 101 Statement of Cash Flows Lecture Notes Chapter 12 Prof. Johnson The statement of cash flows is a required component of financial statements. BASICS OF CASH FLOW REPORTING Purpose of the Statement
More informationAccounting & Understanding Financial Statements Disadvantaged Business Enterprise (DBE) Supportive Services Program
Accounting & Understanding Financial Statements Disadvantaged Business Enterprise (DBE) Supportive Services Program The contents of this training course reflect the views of the author who is responsible
More informationCASH FLOW FORECASTING
CASH FLOW FORECASTING 1 2 3 4 5 6 Goal of Accurate Projections Key Elements Methodology Sales Forecast Key Sales Questions Staffing Forecast 7 8 9 10 11 12 Key Staffing Questions Operating Expenses Balance
More informationLesson 4. Lesson 4. Cash. Beg. Balance End. Balance. 30 Liability. Accounting Cycle Part Stephen's Sweet Shop Trial Balance
Lesson 4 Financial Accounting (Information useful to investors and creditors.) The primary tool for investors and creditors are the financial statements to be prepared in accordance with generally accepted
More informationCHAPTER 12. The statement of cash flows categorizes cash receipts and cash payments as operating, investing, and financing activities.
CHAPTER 12 Purpose of the Statement of Cash Flows The statement of cash flows is considered a major financial statement, as are the income statement, balance sheet, and statement of stockholders' equity.
More informationChapter 12 - Reporting and Analyzing Cash Flows. Chapter Outline
I. Basics of Cash Flow Reporting A. Purpose of the Statement of Cash Flows To report cash receipts (inflows) and cash payments (outflows) during a period. This report classifies cash flows into operating,
More informationChapter 12. The statement of cash flows categorizes cash receipts and cash payments as operating, investing, and financing activities.
1 Chapter 12 2 The statement of cash flows is a major financial statement as are the income statement, balance sheet, and statement of stockholders' equity. The statement of cash flows is required whenever
More informationReporting and Analyzing Cash Flows
Chapter 17 Reporting and Analyzing Cash Flows QUICK STUDY SOLUTIONS Quick Study 17-1 (10 minutes) 1. Operating 6. Operating 2. Operating 7. Investing 3. Financing 8 Operating 4. Financing 9. Operating
More informationStatement of Cash Flows. Barry M Frohlinger
Statement of Cash Flows Barry M Frohlinger Statement of Cash Flows Page 1 Barry M Frohlinger, Inc. copyright 1981-2010 Companies are required to present a Statement of Cash Flows (cash statement) for each
More informationExamples of assets that would not be recognized:
Near-Term Financial Resources Overview Information about spending and resources available for spending Report amount available for spending in the next period Near-term would be a specific period of time,
More informationThe Adjustment Process and Financial Statements Irwin/McGraw-Hill
Chapter 4 The Adjustment Process and Financial Statements Business Background: The Accounting Cycle Phase 1: During the Accounting Period. Start of the Accounting Period! Perform transaction analysis.!
More information[Prepared by ~~~ Hina Saleem Butt~~~ ms ]
Practice question from different books Short term financial planning Solution/:- Average = (Opening + Ending) / 2 Operating Cycle = Inventory Period + A/R period = 64.15 + 28.61 = 92.76 Cash Cycle= Operating
More informationRebeccas Coffee 2018 Prepared for Rebeccas Coffee 05 December 2018
Prepared for 5 December 218 Page 1/22 Data Reporting Period Period End 3-6-215 3-6-216 3-6-217 3-6-218 Period Length (months) 12 12 12 12 Profit & Loss Revenue 3,4, 5,, 5,8, 6,612, Gross Margin ($) 865,
More informationWilliams Plumbing 2018 Prepared for Williams Plumbing 05 December 2018
Prepared for 5 December 218 Page 1/22 Data Reporting Period Period End 3-6-215 3-6-216 3-6-217 3-6-218 Period Length (months) 12 12 12 12 Profit & Loss Revenue 18,, 31,5, 35,, 42,, Gross Margin ($) 4,8,
More informationThe statement of cash flows reports cash flows, cash receipts, and cash payments, to show where cash came from and how it was spent.
Accounting Fundamentals Lesson 10 10.0 Cash Flow Statement The balance sheet reports financial position, and balance sheets from two periods show whether cash increased or decreased. But that doesn t tell
More informationStatement of Cash Flows (SCF)
Statement of Cash Flows (SCF) The statement of cash flows (SCF) or cash flow statement reports a corporation's significant cash inflows and outflows that occurred during an accounting period. This financial
More informationIncrease (Decrease) Total Pension Plan Net Net Pension Liability Fiduciary Position Liability
Exhibit 1 CHANGES IN NET PENSION LIABILITY Increase (Decrease) Total Pension Plan Net Net Pension Liability Fiduciary Position Liability Balance at 7/1/214 $ 1,382,872 $ 1,288,766 $ 94,16 Changes for the
More information4. If cash is collected in advance for services, the revenue is recognized when the services are rendered.
ANSWERS TO QUESTIONS - CHAPTER 2 1. Accrual accounting attempts to record the effects of accounting events in the period when such events occur, regardless of when cash is received or paid. The goal is
More informationForecasting Balance Sheets and Cash Flow Statements for DCF Analyses. Joseph Emanuele ASA, CFA, CPA/ABV/CFF October 8, 2017
Forecasting Balance Sheets and Cash Flow Statements for DCF Analyses Joseph Emanuele ASA, CFA, CPA/ABV/CFF October 8, 2017 What we are NOT doing today: We are NOT going to be learning how to prepare prospective
More informationSession 2, Sunday, April 2nd (1:30-5:00) v Association for Financial Professionals. All rights reserved. Session 3-1
Session 2, Sunday, April 2nd (1:30-5:00) v2.0 2014 Association for Financial Professionals. All rights reserved. Session 3-1 Chapters Covered Financial Accounting and Reporting: Part I, Domain B Chapter
More informationACCOUNTING - CLUTCH CH STATEMENT OF CASH FLOWS.
!! www.clutchprep.com CONCEPT: INTRODUCTION TO STATEMENT OF CASH FLOWS The Statement of Cash Flows shows what affected the Cash account balance throughout the period Predictive Value Helps predict future
More informationMIDTERM REVIEW
15.515 MIDTERM REVIEW Review of Key Concepts Revenue Recognition Accounts Receivable Inventory (LIFO vs. FIFO) PP&E Statement of Cash Flows Problems E4-5 P6-4 P7-9 P9-8 P14-14 Checklist Famous Last Words
More informationDiversion CF, Inc. (DiversionC) Prepared: 08:46, 2/20/2013 Industry Classification: NAICS Code: MMAS ( )
Detailed Balance Sheet - Actual and % Audit Mthd Unqualif'd Unqualif'd Unqualif'd Accountant Dowe Cheat Dowe Cheat Dowe Cheat CURRENT ASSETS Cash 394 2.2 - - 78 0.5 Accts/Notes Rec-Trade 6,752 38.3 7,977
More informationExample Construction Co., Inc.
Example Construction Co., Inc. Projected Projected Projected Projected Income Statement Assumptions Annual Sales Growth 3.47% 3.47% 3.47% 3.47% Gross Profit Margins 10.25% 10.25% 10.25% 10.25% Annual Overhead
More information4. If cash is collected in advance for services, the revenue is recognized when the services are rendered.
ANSWERS TO QUESTIONS - CHAPTER 2 1. Accrual accounting attempts to record the effects of accounting events in the period when such events occur, regardless of when cash is received or paid. The goal is
More informationWorkshop 2: Financial Accounting
2004-2005 Workshop 2: Financial Accounting Agenda Understanding a Company Accounting Basics Income Statement Balance Sheet Statement of Cash Flow Footnotes 1 Understanding a company Know the industry (macro
More informationEDFS TRAINING CONFERENCE APRIL Evaluating Financial Statements and Business Plans
EDFS TRAINING CONFERENCE APRIL 2012 Evaluating Financial Statements and Business Plans 2 Types of Financial Information Balance sheets Profit and loss statements Cash Flow statements Income tax returns
More informationUnappropriated retained earnings (accumulated deficit) Total unappropriated retained earnings (accumulated deficit) 676, ,797 Total retained ear
Financial Statement Balance Sheet Accounting Title 2014/12/31 2013/12/31 Balance Sheet Assets Current assets Cash and cash equivalents Total cash and cash equivalents 1,183,185 1,177,682 Current bond investment
More informationFabrikam Works, Inc. Balance Sheet Comparative As Of April 30, 2007
Balance Sheet Comparative As Of April 30, 2007 This Year Last Year ASSETS Cash Cash - Checking $357,477 $377,795 Money Market Accounts 129,423 46,518 Total Cash 486,900 424,313 Other Assets Net Trade A/R
More informationPORT EVERGLADES DEPARTMENT of Broward County, Florida Statements of Net Position June 30, 2017 and 2016 (Unaudited) (Dollars in Thousands)
Statements of Net Position June 30, 2017 and 2016 (Unaudited) ASSETS Current Assets Unrestricted assets Cash and cash equivalents $ 81,612 $ 17,606 Investments 223,838 242,888 Accounts receivable, trade
More informationPORT EVERGLADES DEPARTMENT of Broward County, Florida Statements of Net Position December 31, 2016 and 2015 (Unaudited) (Dollars in Thousands)
Statements of Net Position December 31, 2016 and 2015 (Unaudited) ASSETS Current Assets Unrestricted assets Cash and cash equivalents $ 435 $ 17,085 Investments 264,614 205,839 Accounts receivable, trade
More informationPART 1 - INFORMATION REQUIRED FOR ANNOUNCEMENTS OF QUARTERLY (Q1,Q2 & Q3), HALF-YEAR AND FULL YEAR RESULTS 1(a)
This announcement has been prepared by the Company and its contents have been reviewed by the Company s sponsor, SAC Capital Private Limited, for compliance with the relevant rules of the Singapore Exchange
More informationThéorie Financière. 4. Tableau de financement et planning financier
Théorie Financière 4. Tableau de financement et planning financier Professeur André éfarber Assets Fixed assets (FA) Summarized (managerial) balance sheet Working capital requirement (WCR) Cash (Cash)
More informationSmall Creditor Revisions ATR & QM Requirements
BANKERS COMPLIANCE CONSULTING Small Creditor Revisions ATR & QM Requirements 1 I. Purpose Page 1 2 II. Definitions Page 1 3 III. ATR, QM & HPML Page 2 4 Page 2 1. TILA Small Creditor Designations 5 i.
More informationCreating a Statement of Cash Flows
MARCH 22, 2018 Creating a Statement of Cash Flows Presented by Nicole Ryan, CPA 1 What is a Cash Flow Statement? A financial statement that provides aggregate data regarding Cash Inflows receipts from
More informationXYZ APARTMENTS BALANCE SHEET. December 31, 2008 ASSETS
BALANCE SHEET December 31, 2008 ASSETS Current Assets 1120 Cash Operations $ 1130 Tenant accounts receivable 1200 Prepaid expenses 1100T Total current assets Funded Deposits Held in Trust 1191 Tenant deposits
More informationLearning Objectives. Chapter 5. Balance Sheet. Learning Objective 1, 2, 3. Liquidity. Chapter Overview. Balance Sheet and Statement of Cash Flows
Chapter 5 Balance Sheet and Statement of Cash Flows Campbell, Coca-Cola, American Airlines, Borders Learning Objectives 1. Explain uses, limitations of a balance sheet 2. Identify major classifications
More informationChapter 3: Accounting and Finance
FIN 301 Class Notes Chapter 3: Accounting and Finance INTRODUCTION Accounting Function: Gathering, processing, and reporting data. End result is a set of four financial statements 1- Balance sheet 2-Income
More informationVISUAL #16-1 CLASSIFYING ACTIVITIES IN THE STATEMENT OF CASH FLOWS OPERATING ACTIVITIES INVESTING ACTIVITIES FINANCING ACTIVITIES
VISUAL #16-1 CLASSIFYING ACTIVITIES IN THE STATEMENT OF CASH FLOWS OPERATING ACTIVITIES Cash inflows from Cash outflows to Customers for cash sales Collections on credit sales Borrowers for interest Dividends
More informationPREVIEW OF CHAPTER 5-2
5-1 PREVIEW OF CHAPTER 5 5-2 Intermediate Accounting IFRS 2nd Edition Kieso, Weygandt, and Warfield 5 and Statement of Cash Flows Statement of Financial Position LEARNING OBJECTIVES After studying this
More informationCommercial Lending for Lenders 2015
Commercial Lending for Lenders 2015 Just how do you think you ll be paid back on this loan, anyway? Alan Whitecross awhitecross@gmail.com What repays a loan?????????? Guess we need to understand Cash Flow!
More informationAFP Financial Planning & Analysis Learning System Session 2, Sunday, April 2nd (1:30-5:00)
AFP Financial Planning & Analysis Learning System Session 2, Sunday, April 2nd (1:30-5:00) Chapters Covered Financial Accounting and Reporting: Part I, Domain B Chapter 7 Ratio Analysis: Part I, Domain
More informationChapter 13 Statement of Cash Flows Study Guide Solutions Fill-in-the-Blank Equations. Exercises
Chapter 13 Statement of Cash Flows Study Guide Solutions Fill-in-the-Blank Equations 1. Net cash flow from operating activities 2. Change in Cash 3. Cash used to purchase property, plant, and equipment
More informationGateway NACM Credit Conference Presented by: Curtis Litchfield, CCE September 19, 2018
Welcome Gateway NACM Credit Conference Presented by: Curtis Litchfield, CCE September 19, 2018 Financial Statement Analysis Tools and Techniques Common-Size Financial Statements Key Financial Ratios Trend
More information- A resource - Controlled by the entity - As a result of a past event - From economic benefits are expected to flow to the entity.
Elements and recognition criteria 1. Identify the definition for each of these elements: a. Assets b. Liabilities c. Equity d. Income e. Expenses - A resource - Controlled by the entity - As a result of
More informationFinancial Statements and Taxes
Financial Statements and Taxes RWJR, Chapter 2 September 2004 Outline of the Lecture 2.1 The Balance Sheet 2.2 The Income Statement 2.3 Cash Flow 2.4 Taxes 2.5 Capital Cost Allowance 2 2.1 The Balance
More informationACCOUNTING. bankerzhaus.wordpress.com 1
ACCOUNTING Income Statement (IS) -- a financial statement that measures a company's financial performance over a specific accounting period Revenue / COGS and Operating Expenses / Operating Income (EBIT)
More informationPilot Financial Webinar Class I. September 19, 2018
Pilot Financial Webinar Class I September 19, 2018 About Us Olivia Tincani provides business, financial, and strategic planning and technical assistance for small-scale independent farms, ranches, food
More informationFinancial Statement Balance Sheet
Financial Statement Balance Sheet Page 1 of 1 Financial Statement Balance Sheet Accounting Title 2014/09/30 2013/12/31 2013/09/30 Balance Sheet Assets Current assets Cash and cash equivalents Total cash
More informationStatement of Cash Flows. Statement of Cash Flows. Classification of Business Activities. Learning Objectives
Statement of Cash Flows Learning Objectives 1. Understand the different activities of a business and how this influences the cash flow statement 2. Understand the direct and indirect methods for preparation
More informationChapter 6 Accounting Adjustments and Working papers
Chapter 6 Accounting Adjustments and Working papers Topics 1. Cash basis vs. Accrual Basis 2. Accrued Income 3. Accrued Expenses 4. Prepaid Expenses 5. Unearned Income 6. Depreciation 7. Supply Expenses
More informationCASH FLOWS FROM OPERATING ACTIVITIES
1 CASH FLOWS FROM OPERATING ACTIVITIES Cash receipts from customers (calc a) Cash paid to suppliers and employees (calc b) Cash generated from / (used in) operations Dividends received Interest received
More informationCHAPTER 2: FINANCIAL REPORTING MECHANISMS
Department of Management and Law CHAPTER 2: FINANCIAL REPORTING MECHANISMS Prof. Sandro Brunelli, Ph.D. brunelli@economia.uniroma2.it BUSINESS ACTIVITIES AND FINANCIAL STATEMENT ELEMENTS Business Activities
More informationWeek 5, Chap3 Accounting 1A, Financial Accounting. Instructor: Michael Booth
Week 5, Chap3 Accounting 1A, Financial Accounting Instructor: Michael Booth Business Background How do business activities affect the income statement? How are these activities recognized and measured?
More informationChapter 14 (13) Statement of Cash Flows Study Guide Do You Know?
Chapter 14 (13) Statement of Cash Flows Study Guide Do You Know? Learning Objective 1: Describe the cash flow activities reported in the statement of cash flows. If a cash flow would be considered as an
More informationNon-GAAP Financial Measures
Non-GAAP Financial Measures We provide non-gaap gross margin, non-gaap operating income (loss), non-gaap net income (loss), non- GAAP earnings per share, and other non-gaap measures like Adjusted EBITDA
More informationAccounting Functions. The various financial statements are- Income Statement Balance Sheet
Accounting Functions The accounting system provides a structure of maintaining details of business transactions that represent the finances of the organization. The various financial statements are- Income
More informationSpreadsheet versus T-Account
Chapter 21 The Statement of Cash Flows Part 2 The Mechanics of the T-Account Approach Intermediate Accounting II Dr. Chula King Spreadsheet versus T-Account Spreadsheet Approach Columns Balance Sheet:
More informationTotal operating revenues 44,275,651 43,814,411 42,363, ,240
COMBINED STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION Actual vs Budget and Prior Year For the Month Ended November 30, 2017 Favorable (Unfavorable) Variance Actual Budget Prior Year Actual/Budget
More informationNovelis Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) (in millions)
Novelis Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) (in millions) Three Months Ended March 31, Net sales $ 2,621 $ 2,402 $ 9,591 $ 9,872 Cost of goods sold (exclusive of depreciation
More informationQ Earnings Results Supplementary Data, Financial Tables and Non-GAAP Reconciliations
Q2 2018 Earnings Results Supplementary Data, Financial Tables and Non-GAAP Reconciliations Non-GAAP Financial Measures CyberArk believes that the use of non-gaap gross profit, non-gaap operating income
More informationPORT EVERGLADES DEPARTMENT of Broward County, Florida Statements of Net Position March 31, 2016 and 2015 (Unaudited) (Dollars in Thousands)
Statements of Net Position March 31, 2016 and 2015 (Unaudited) ASSETS Current Assets Unrestricted assets Cash and cash equivalents $ 17,954 $ 14,339 Investments 223,700 214,935 Accounts receivable, trade
More informationUniversity of Denver Small Practice Management
University of Denver Small Practice Management Law Office Accounting Basics Bookkeeping, Record Keeping and Billing Brenda M. Clarke, CPA ABV CVA Seigneur Gustafson LLP April 11, 2013 2012 Brenda M. Clarke.
More informationBASIC FINANCIAL STATEMENTS- FUND FINANCIAL STATEMENTS
BASIC FINANCIAL STATEMENTS- FUND FINANCIAL STATEMENTS AE (This Page Intentionally Left Blank) 31 Balance Sheet Governmental Funds June 30, 2017 Teeter ASSETS AND DEFERRED OUTFLOWS OF Flood Debt RESOURCES:
More informationFinancial Statements Analysis
Financial Statements Analysis Agenda I. The Importance of Financial Statements Analysis II. Overview of the 3 Statements a) Income Statement b) Cash Flow Statement c) Balance Sheet III. How Statements
More informationFull file at Chapter 02 - Solutions to Exercises - Series A
SOLUTIONS TO EXERCISES - SERIES A - CHAPTER 2 EXERCISE 2-1A Horizontal Statements Model Stock. Equity Type of Com. Ret. Net Cash Even t Event Asset s = Liab. + Stock + Earn. Rev. Exp. = Inc. Flows a. AS
More informationIntro to Financial Reporting
Intro to Financial Reporting Day 1: Learning the Language of Business Jane Kennedy September 20, 2011 Jump Start Goals? Introduce Accounting, the language of business, and its strange new jargon Learn
More informationCity of Tombstone, Arizona Financial Statements. Year Ended June 30, 2016
City of Tombstone, Arizona Financial Statements Year Ended June 30, 2016 CONTENTS Page INDEPENDENT AUDITOR S REPORT 1 MANAGEMENT S DISCUSSION AND ANALYSIS (MD&A) (Required Supplementary Information) 5
More informationCHAPTER 24. Statement of cash flows CONTENTS
CHAPTER 24 Statement of cash flows CONTENTS 24.1 Simple statement of cash flows 24.2 Statement of cash flows for a sole trader 24.3 Statement of cash flows for a partnership 24.4 Statement of cash flows
More informationRocco Sabino MBA, CPA
Rocco Sabino MBA, CPA Rocco.Sabino@Stonybrook.edu Agenda: I. Understanding Financial Information Ø Financial Statements q Income Statement It s all about earning income How does Human Resource (HR) affect
More informationStatement of Cash Flows
CHAPTER 14 Statement of Cash Flows LEARNING OBJECTIVES After you have mastered the material in this chapter, you will be able to: 1 Prepare the operating activities section of a statement of cash flows
More informationTown of Carrboro, North Carolina Balance Sheet Governmental Funds June 30, 2016
Balance Sheet Governmental June 30, 2016 Major Grants Revolving Bond Capital Administration General Fund Loan Fund Fund Projects Fund Fund ASSETS Cash and cash equivalents $ 14,749,029 $ 493,234 $ 1,623,198
More informationCOMSATS Institute of Information Technology Abbottabad
COMSATS Institute of Information Technology Abbottabad Department of Management Sciences Terminal Section A: Spring 2017 Class: BBA 2 Date: 21-07-2017 Subject: Accounting I Instructor: Zaheer Swati Time
More informationVisit Free Slides and Ebooks : CHAPTER 23. Statement of Cash Flows
CHAPTER 23 Statement of Cash Flows ASSIGNMENT CLASSIFICATION TABLE (BY TOPIC) Topics Questions Brief Exercises Exercises Problems Concepts for Analysis 1. Format, objectives purpose, and source of statement.
More informationCHAPTER 17 PROBLEMS: SET B
CHAPTER 17 PROBLEMS: SET B P17-1B You are provided with the following transactions that took place during a recent fiscal year. Statement of Cash Inflow, Cash Flow Outflow, or Transaction Activity Affected
More informationFINANCIAL RESULTS. Consolidated Financial Statements - Fiscal Year Ended March 31, Consolidated Balance Sheets
FINANCIAL RESULTS Consolidated Financial Statements - Fiscal Year Ended March 31, 2007-1. Consolidated Balance Sheets (ASSETS) Prior Year End Current Year End (As of March 31, 2006) (As of March 31, 2007)
More informationLENDING TO MUNICIPALITIES & Other Governmental Units
LENDING TO MUNICIPALITIES & Other Governmental Units PRESENTED BY BANKERS INSIGHT GROUP Jeffery W. Johnson Bankers Insight Group 1 Introduction Types of Local Governments Fund Accounting / Types of Funds
More informationCP:
Adeng Pustikaningsih, M.Si. Dosen Jurusan Pendidikan Akuntansi Fakultas Ekonomi Universitas Negeri Yogyakarta CP: 08 222 180 1695 Email : adengpustikaningsih@uny.ac.id 5-1 5-2 PREVIEW OF CHAPTER 5 5-3
More informationOther Current Assets 14. Corporate Representative: Checked by: Compiled by:
0000015 BALANCE SHEET (AUDITED) Company Name: Shishi Rixiang Marine Foods Co., Ltd. 12/31/2007 Monetary Unit: CNY ASSETS LINE NO AT BEG OF YEAR AT END OF YEAR LIABILITIES AND OWNERS' EQUITYLINE NO AT BEG
More informationName of business Statement of cash flows for the financial year end 31 December 20X1 (DIRECT METHOD) Inflow /(outflow)
Name of business Statement of cash flows for the financial year end 31 December 201 (DIRECT METHOD) Calc Notes Inflow /(outflow) CASH FLOWS FROM OPERATING ACTIVITIES Cash receipts from customers C1 Cash
More informationMGT101 Long Questions
MGT101 Long Questions Question No: 56 ( Marks: 5 ) Write down the five advantages of Limited Company. Answer It is a legal entity created by law and hence has its own recognition, good will and brand equity
More informationBusiness Background Management is responsible for preparing...
Business Background Management is responsible for preparing... Financial Statements High Quality = Relevance + Reliability... Are useful to investors and creditors. Business Background Revenues are recorded
More informationAdjustments, Financial Statements, and the Quality of Earnings
Adjustments, Financial Statements, and the Quality of Earnings Chapter 4 McGraw-Hill/Irwin 2009 The McGraw-Hill Companies, Inc. Understanding the Business Management is responsible for preparing... Financial
More informationForecasting for Financial Planning
Forecasting for Financial Planning 1 Learning Objectives The importance of forecasting to business success. The financial forecasting process. Preparation of pro forma financial statements. The importance
More informationInterurban Transit Partnership
Single Audit Report Years Ended September 30, 2016 and 2015 The report accompanying these financial statements was issued by BDO USA, LLP, a Delaware limited liability partnership and the U.S. member of
More informationCS101 Introduction of computing
MGT101 Financial Accounting Lecture wise s Answers for Final Term Exam Preparation Write down the five advantages of Limited Company. Answer 1. It is legal entities created by law and hence has its own
More information