Enrolment options
You have already learnt about the preparation of financial statements i.e. Balance Sheet and Trading and Profit and Loss Account in Intermediate Accounting. After preparation of the financial statements, one may be interested in analyzing the financial statements with the help of different tools (To be applied later). In this process a meaningful relationship is established between two or more accounting figures for comparison.
The module aims at equipping students with the knowledge of analyzing financial statements of various business firms; review and assess financial information to help them understand a firm’s financial strengths and weaknesses, which will lead to appropriate financial decisions for proper financial planning.
As objectives, at the end of this module, students are expected to be able to: explain the meaning, need and purpose of financial statement analysis; identify the parties interested in analysis of financial statements; explain the various techniques and tools of analysis of financial statements.
Therefore, the module will include tools and techniques of analysis and interpreting financial information reported in the firm’s financial statements.