Understanding Financial Statement

Course Information

1 Day Course 

Fee: $680 (before GST)

Course Dates:

  • 16 Jan 2026
  • 13 Feb 2026
  • 13 Mar 2026
  • 10 Apr 2026

Time: 9.15am – 5pm

Contact: [email protected] 

Venue: Hotel (near MRT)

Note:

  • Tea breaks and buffet lunch will be served. Car parking coupons are available upon request. 
  • For 3 pax and above, 10% discount across the board
Close-up of detailed financial statement with numbers and columns.

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Course Introduction

This course is designed to discuss the main features of the financial statements prepared by a business enterprise. The course is divided into 2 sessions. In the first session, participants will understand the meaning and fundamental structure of the financial statements, and the inter-relationship of the items in the statements. Thereafter, participants will learn to apply key management ratios to evaluate the strengths and weaknesses of the business operations.

Course Outlines

Topic 1: What you want to know about the financial statement?

Nature and role of accounting; Desirable qualities of a financial report;; Accounting as an information system; Financial and management accounting compared; Fundamental accounting assumptions; Accounting policies; Objectives of financial statements. User groups and their areas of interest.

Topic 2: Three basic financial statements

Balance sheet – source and use of funds approach; vertical format presentation; current assets; fixed assets; liabilities; shareholders funds; capital employed; net worth; working capital; long and short balance sheet analysis. Profit and loss account – timing adjustments; distribution or appropriation of profits; and cash flow statement. Cash Flow Statement – operating cash cycle; relationship between depreciation and cash flow; non-operating cash outflows and inflows.

Topic 3: Interpretation of Auditor's Reports

Objectives and scope of audit; Reasonable assurance; True and Fair View; Auditors opinion – unqualified, emphasis of matters, qualified, disclaimer, adverse opinion.

Topic 4: Analyzing Performance of An Enterprise

Liquidity Ratios

  • Importance of liquidity; application, case study and interpretation techniques.

Profitability Ratios

  • Importance of profitability; meaning of return on investment; drivers of margin on sales; drivers of sales to total assets; operating profit model; application, case study and interpretation techniques.

Solvency Ratios

  • Importance of solvency; application, case study and interpretation techniques.

Asset Management Ratios

  • Importance of asset management; application, case study and interpretation techniques.

Stock Market Ratios

  • Application, case study and interpretation techniques.

Note: Participants are required to bring calculators. 

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