Financial Statement Analysis (5 cr)

Evaluation scale

0-5

Content scheduling

At the beginning of the course, contact lectures, which end with an online exam covering the theoretical part and 1 resit. This is followed by business analyzes done as a pairwor or individually.

Objective

The object of the course
You are familiar with the key concepts and methods of financial statement analysis and valuation. You are able to prepare a cash flow statement.

Course competences
Business competence
Ethics

The learning objectives of the course
You are able to use your knowledge in the analysis of a company and are able to interpret the company’s operations and financial position. You are aware of the possibilities and limitations of financial statement analysis and the forecasts made on the development of the company’s operations.

Content

The course contents cover the editing and analysing of the profit and loss statement and balance sheet, key figures and their calculation and interpretation, interpretation of financial statements, cash flow statement based on financial statements, calculation of working capital, valuation of an enterprise and the analysis of the case enterprise.

Location and time

According to given schedule.

Materials

Salmi, I. Mitä tilinpäätös kertoo? Edita, 2010 tai uudempi painos, KILAn yleisohje rahoituslaskelman laatimisesta 2007.

Teaching methods

Tutorial teaching in the classroom, independent learning tasks, independent acquaintance with materials, group or independent work: business financial analysis

Employer connections

More exact information on the work placements linked to the course shall be provided by the teacher during the first contact lessons of the course.

Exam schedules

The exam will be held March 6th, 2024 and resits during next two weeks.

Completion alternatives

A corresponding course completed in another university may be accredited partially or completely. Competence acquired through informal learning may be recognized and accredited on the basis of competence test. More precise instructions can be found in Degree Regulations and in Study Guide.

Student workload

Lectures and company presentations 25-30h, independent study 60 h Exercises 45 h

Assessment criteria, satisfactory (1)

Adequate 1
You are familiar with the concepts of financial statement analysis and remember the key indicators. You are able to calculate indicators describing a company’s financial position and assess the company in a rudimentary manner. You are familiar with the principles of preparing a cash flow statement.

Satisfactory 2
You are familiar with the key concepts of financial statement analysis and company valuation and are able to calculate the most important key indicators. You are able to calculate and know how to assess the indicators describing a company’s financial position and performance. You are familiar with the principles of preparing a cash flow statement and are able to prepare a cash flow statement under guidance. You are able to follow the schedule in producing the data.

Assessment criteria, good (3)

Good 3
You are familiar with the knowledge, skills and techniques related to financial statement analysis and are able to analyse a company’s performance and financial position on a general level. You are able to use it to make forecasts on the company’s development. You are familiar with the main principles of preparing a cash flow statement and are able to prepare an almost error-free cash flow statement under guidance. You recognise certain principal limitations of financial statement analysis and are able to report your observations. You are able to follow the schedule in producing the data.

Very Good 4
You master the knowledge and skills of financial statement analysis and are able to analyse companies. You are able to prepare an almost error-free cash flow statement and are aware of its significance for the company’s operations. You understand the limitations of financial statement analysis and are able to report your observations in a versatile manner. You are able to follow the schedule in producing the data.

Assessment criteria, excellent (5)

Excellent 5
You master the knowledge, skills and techniques related to financial statement analysis and company valuation and are able to analyse and interpret a company’s performance and financial position in a versatile manner with the help of the key indicators and cash flow statement prepared. You understand the limitations of financial statement analysis and are able to report your observations in a versatile and clear manner. You can guide others’ work. You are able to follow the schedule in producing the data.

Qualifications

Contents and the preparation of financial statements.

Further information

Exam 60%, 3 ECTS and company analysis (pairwork) 40%, 2 ECTS