Financial Management

  1. Financial Statement Analysis
    1. Overview of Financial Statements
      1. The Balance Sheet
        1. Current Assets
          1. Cash and Cash Equivalents
            1. Marketable Securities
              1. Accounts Receivable
                1. Inventory
                  1. Prepaid Expenses
                  2. Non-Current Assets
                    1. Property, Plant, and Equipment
                      1. Intangible Assets
                        1. Long-Term Investments
                        2. Current Liabilities
                          1. Accounts Payable
                            1. Short-Term Debt
                              1. Accrued Expenses
                              2. Long-Term Liabilities
                                1. Long-Term Debt
                                  1. Deferred Tax Liabilities
                                    1. Pension Obligations
                                    2. Stockholders' Equity
                                      1. Common Stock
                                        1. Retained Earnings
                                          1. Additional Paid-in Capital
                                        2. The Income Statement
                                          1. Revenue Recognition
                                            1. Cost of Goods Sold
                                              1. Operating Expenses
                                                1. Non-Operating Income and Expenses
                                                  1. Income Tax Expense
                                                    1. Earnings Per Share
                                                    2. The Statement of Cash Flows
                                                      1. Operating Activities
                                                        1. Direct Method
                                                          1. Indirect Method
                                                          2. Investing Activities
                                                            1. Capital Expenditures
                                                              1. Asset Disposals
                                                                1. Investment Transactions
                                                                2. Financing Activities
                                                                  1. Debt Transactions
                                                                    1. Equity Transactions
                                                                      1. Dividend Payments
                                                                    2. The Statement of Stockholders' Equity
                                                                      1. Changes in Share Capital
                                                                        1. Retained Earnings Changes
                                                                          1. Other Comprehensive Income
                                                                        2. Cash Flow Analysis
                                                                          1. Operating Cash Flow
                                                                            1. Quality of Earnings
                                                                              1. Cash Flow from Operations vs. Net Income
                                                                              2. Free Cash Flow
                                                                                1. Free Cash Flow to the Firm
                                                                                  1. Free Cash Flow to Equity
                                                                                  2. Cash Flow Coverage Ratios
                                                                                    1. Cash Coverage Ratio
                                                                                      1. Cash Flow to Debt Ratio
                                                                                    2. Ratio Analysis
                                                                                      1. Liquidity Ratios
                                                                                        1. Current Ratio
                                                                                          1. Quick Ratio
                                                                                            1. Cash Ratio
                                                                                              1. Operating Cash Flow Ratio
                                                                                              2. Activity Ratios
                                                                                                1. Inventory Turnover
                                                                                                  1. Days Sales Outstanding
                                                                                                    1. Accounts Receivable Turnover
                                                                                                      1. Accounts Payable Turnover
                                                                                                        1. Fixed Asset Turnover
                                                                                                          1. Total Asset Turnover
                                                                                                            1. Working Capital Turnover
                                                                                                            2. Leverage Ratios
                                                                                                              1. Debt-to-Assets Ratio
                                                                                                                1. Debt-to-Equity Ratio
                                                                                                                  1. Long-Term Debt to Capital Ratio
                                                                                                                    1. Times Interest Earned Ratio
                                                                                                                      1. Cash Coverage Ratio
                                                                                                                        1. Equity Multiplier
                                                                                                                        2. Profitability Ratios
                                                                                                                          1. Gross Profit Margin
                                                                                                                            1. Operating Profit Margin
                                                                                                                              1. Net Profit Margin
                                                                                                                                1. Return on Assets
                                                                                                                                  1. Return on Equity
                                                                                                                                    1. Return on Invested Capital
                                                                                                                                    2. Market Value Ratios
                                                                                                                                      1. Price-to-Earnings Ratio
                                                                                                                                        1. Price-to-Book Ratio
                                                                                                                                          1. Market-to-Book Ratio
                                                                                                                                            1. Price-to-Sales Ratio
                                                                                                                                              1. Dividend Yield
                                                                                                                                                1. Dividend Payout Ratio
                                                                                                                                                  1. Earnings Per Share
                                                                                                                                                    1. Book Value Per Share
                                                                                                                                                  2. Comparative Analysis
                                                                                                                                                    1. Trend Analysis
                                                                                                                                                      1. Horizontal Analysis
                                                                                                                                                        1. Vertical Analysis
                                                                                                                                                        2. Cross-Sectional Analysis
                                                                                                                                                          1. Industry Comparisons
                                                                                                                                                            1. Peer Group Analysis
                                                                                                                                                              1. Benchmarking
                                                                                                                                                            2. Integrated Financial Analysis
                                                                                                                                                              1. The DuPont System
                                                                                                                                                                1. Basic DuPont Identity
                                                                                                                                                                  1. Extended DuPont Analysis
                                                                                                                                                                    1. Decomposition of Return on Equity
                                                                                                                                                                    2. Sustainable Growth Rate
                                                                                                                                                                      1. Internal Growth Rate
                                                                                                                                                                        1. Sustainable Growth Rate Calculation
                                                                                                                                                                      2. Limitations of Financial Statement Analysis
                                                                                                                                                                        1. Accounting Method Differences
                                                                                                                                                                          1. Historical Cost vs. Market Value
                                                                                                                                                                            1. Off-Balance-Sheet Items
                                                                                                                                                                              1. Window Dressing
                                                                                                                                                                                1. Inflation Effects
                                                                                                                                                                                  1. Non-Quantifiable Factors

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                                                                                                                                                                                2. The Financial Environment

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                                                                                                                                                                                4. The Time Value of Money