We have great pleasure in presenting First edition “Financial Statement Analysis” written for students of PG courses. The related matters are written in a simple and easily understandable.
This volume is an attempt to pro vide the students with thorough understanding of Financial Statement Analysis. We have presented the subject matter in a systematic manner with liberal use of charts and diagrams where ever necessary so as to make it interesting and sustain students’ interest.
Contents –
Module – 1 Financial Statements and Reports
Introduction
Financial Statements
Meaning of Financial Statements
Types of Financial Statements
Significance of Financial Statements
Annual Reports
Components of an Annual Report
Users of Annual Report
Criteria for Information Appearing in a Published
Income Statement
Balance Sheet
Statement of Changes in Equity
Financial Highlights
Reporting Comprehensive Income
Segmental Reporting
Accounting Policies
Fair View Treatment
Chairman’s Statement and Directors’ Report
Management Discussion and Analysis
Notes to the Accounts / Schedules
Cash Flow Statements
Financial Highlights
Introduction to Integrated Reporting
ESG Disclosures as per SEBI
Multiple Choice Questions (MCQ)
Review Questions
Module – 2 Financial Statement Analysis
Introduction
Financial Statement Analysis
Meaning of Financial Statement Analysis
Objectives of Financial Statement Analysis
Importance of Financial Statement Analysis
Advantages of Financial Statement Analysis
Limitations of Financial Statement Analysis
Parties Interested
Types-External Analysis
Internal Analysis
Horizontal
Vertical Analysis
Procedure of Analysis
Tools and Techniques of Analysis
Comparative Statements
Common-size Statements
Trend Analysis. Elements of Financial Statement Analysis –
on the Basis of Materials Used
on the Basis of Modus Operandi
General Comparison between Financial and Non-financial
Listed Companies’ Performance through Annual Report
as a Bench Marking Against Competitor and Industry
Real-world Applications of Financial Statement Analysis
Multiple Choice Questions (MCQ)
Review Questions
Practical Problems with Answer
Module – 3 Ratio Analysis
Introduction
Ratio Analysis
Meaning of Ratio Analysis
Use of Ratio Analysis
Significance of Ratio Analysis
Limitations of Ratio Analysis
Classification of Ratio Analysis
Computation of Liquidity
Activity
Solvency and Profitability Ratios
Du-Pont Control Chart
Preparation and Interpretation of Financial
Statements using Ratios
Altman Z Score
Piotroski F Score
Beneish M-score Model
Multiple Choice Questions (MCQ)
Review Questions
Practical Problems with Answer
