Basic Finance

Ratio Analysis with Examples A. Ratio B. Liquidity Ratios 1. Current Ratio 2. Quick Ratio C. Asset Utilization Ratio 1. Inventory Turnover Ratio 2. Day Sales Outstanding Ratio 3. Fixed Asset Turnover Ratio 4. Total Asset Turnover Ratio D. Debt Management Ratio 1. Debt Ratio 2. Times Interest Earned Ratio E. Profitability Ratio 1. Profit Margin Ratio 2. Return on Asset Ratio 3. Return on Equity Ratio

A. Objective of Financial Statement Analysis B. Limitations of Financial Statement Analysis C. Practical Steps in Analyzing Financial Statements -Horizontal Analysis -Vertical Analysis D. Tips in Assessing the Financial Statements

A. Financial Statements -Statement of Financial Position -Statement of Financial Performance -Statement of Changes in Equity -Statement of Cash Flows -Notes to the Financial Statements B. Users of Financial Statements C. Enhancing Qualitative Characteristics of Financial Statement

Introduction to Finance -Financial Environment -Financial Institutions - Kinds of Financial Institutions -Financial Markets -Types of Markets -Investments -Entrepreneurial Finance -Personal Finance -Six Principles of Finance -Forms of Business Organizations -Financial Manager and its roles -Capital Allocation Process -Common vs Preferred Stock