Ratio Analysis: Understanding Financial Performance Guide

Ratio Analysis: A Guide to Understanding Financial Performance

What you'll learn

 Overview of ratio analysis and its applications

 Understanding the purpose and principles of ratio analysis

 Types of financial ratios: liquidity, profitability, solvency

 Role of data analytics in calculating, visualizing, and interpreting ratios

Requirements

No prior experience is required. We will start from the very basics.

Description

Ratio Analysis: A Guide to Understanding Financial PerformanceWhat You’ll LearnOverview of ratio analysis and its applicationsUnderstanding the purpose and principles of ratio analysisTypes of financial ratios: liquidity, profitability, solvencyRole of data analytics in calculating, visualizing, and interpreting ratiosExplore TopicsAccounting, Financial ReportingCourse ContentVideo 1: OverviewIn this series of video lectures, we will cover ratio analysis, including the important formulas, how to use them, and how to understand their purpose. We will also talk about data analytics, what it means, the tools used, and the benefits it provides for better decision-making.Video 2: Understanding Ratio AnalysisIn this video, you will learn about ratio analysis, helping you understand the different types of ratios and their significance in evaluating financial performance.Video 3: Data Analytics OverviewIn this session, we will explore data analytics from the perspectives of accounting, auditing, and management. First, we will define what data analytics is, followed by an examination of the reports generated through data analysis. We will then guide you through understanding these reports, focusing on how accountants, auditors, and management can interpret and use the data effectively.Video 4: Illustrations of Financial RatiosGuiding you through an illustration to help you understand the different categories of liquidity, profitability, and solvency ratios with practical examples.Video 5: Profitability RatiosTotal Assets TurnoverRate of Return on Total AssetsDuPont Return on AssetsProfit Margin on SalesReturn on Common Stock EquityGross Profit MarginEarnings Per Share (EPS)Return on Equity (ROE)Price-to-Earnings (P/E) RatioDividend YieldDividend Payout Ratio (Payment to Common Shareholders)Operating Cash Flow (Accounting Cash Flow)Video 6: Liquidity RatiosCurrent RatioQuick RatioInventory TurnoverVideo 7: Solvency RatiosDebt-to-Equity RatioEquity RatioTimes Interest EarnedBook Value per Common ShareCash Flow per Common ShareVideo 8: Variance AnalysisIntroductionKey Benefits of Variance AnalysisPerformance ReportsSales Activity VariancesVideo 9: Practice Questions on Ratio AnalysisTest your knowledge with practice questions designed to reinforce your understanding of ratio analysis and its applications.

Overview

Section 1: Ratio Analysis - Overview

Lecture 1 Ratio Analysis - Overview

Section 2: Understanding of Ratio Analysis

Lecture 2 Understanding of Ratio Analysis

Section 3: Data Analytics Overview

Lecture 3 Data Analytics Overview

Section 4: Illustration to understand in detail about different ratios

Lecture 4 Illustration to understand in detail about different ratios

Section 5: Profitability Ratios

Lecture 5 Profitability Ratios

Section 6: Liquidity Ratios

Lecture 6 Liquidity Ratios

Section 7: Solvency Ratios

Lecture 7 Solvency Ratios

Section 8: Variance Analysis

Lecture 8 Variance Analysis

Section 9: Practice Question on Ratio Analysis

Lecture 9 Practice Question on Ratio Analysis

Finance students,Financial analysts,Anyone interested in a career in finance