:: Instructor-led Classes

Financial Analysis Essentials

Course Details

In this course, you will be playing the role of a financial analyst at a consulting firm that has been asked to help a struggling bodega (winery) to analyze its past and current financial situation in order to identify issues and problems. Working as part of a team, you will learn more about the bodega's day-to-day business and the wine industry in general in order to better determine underlying issues and possible solutions. The work that you do in this course will provide the foundation for the financial planning work that you do for the bodega in the follow-on course, "Financial Planning Essentials."

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What are Financial Analysis and Financial Planning?

Financial analysis is an assessment of the stability and profitability of a company. When a financial analyst conducts this assessment, he or she examines two primary areas of a company's operations:
  • Decisions that company managers make to allocate resources within their organization in order to achieve business goals.
  • The way in which the company obtains the funds required to maintain its activities, and the compensation that it must provide to lenders and investors in return.
These two activities are closely related, since financially successful company operations will make it easier for the company to obtain money in the future. If investors receive adequate compensation and lenders feel there is a strong likelihood that their money will be returned, they will continue to provide funds. Financial planning adds to these responsibilities the formulation, projection, and execution of plans in order to help a company to meet its financial goals, to expand its business, and to increase its profitability.

What will you do in this course?

In this course, you will develop and practice the following skills:
  • Preparing a financial analysis summary of a company's profit & loss (P&L) statements
  • Identifying financial and operational problems in a company based on its P&L statements
  • Preparing a financial analysis summary of a company's balance sheets
  • Identifying financial and operational problems in a company based on its balance sheets
  • Analyzing and preparing a report on a company's current financial state


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