RELATIONSHIPS BETWEEN FINANCIAL STATEMENTS
- Principles of Financial Statements
- Income statement
- Balance sheets
- Cash flow statements
- The Vital Difference between Profit and Cash Flow
- Cash vs. accrual accounting
- Fundamentals of Cash Flow and Working Capital
- Cash and cash equivalents
PRESENTATION OF CASH FLOW
- Analyzing and Interpreting the Cash Flow Statement
- Elements of a cash-flow statement
- Operating cash flow
- Investing cash flow
- Financing cash flow
- Methods in calculating operating cash flow
- Direct versus indirect methods
- The Drivers of Cash Flow, Liquidity and Solvency
- Trade-off between liquidity and profitability
CASH FLOW AND WORKING CAPITAL MANAGEMENT
- How Working Capital Drives Financial Performance
- Understanding the Working Capital Cycle
- Conservative working capital management
- Aggressive working capital management
- Working capital optimization
- Practical Tools to Optimize Inventories
- Practical Tools to Optimize Trade Receivables
- Minimizing Cash Float and Accelerating the Cash Cycle
- Cash conversion cycle
- Accounts receivable factoring, pledging and assignment
- Suppliers early payment discount
ALIGNING BUDGETS AND CASH FORECASTS
- Why to forecast cash flow
- Who is involved
- Cash Flow Forecasting Methods
- Use of budgets as a start point
- Revenue and expenditure patterns
- Impact of capex and investment activities
- Use of rolling forecasts
- Sensitivity Testing Cash Flow Forecasts
- Ensuring that cash-flow forecasts align with budgets
CASH FLOW RATIOS
- Ratio relating liquidity vs turn over ratios
- External financing index ratio
- Cash sources component percentages ratio
- Financing policies ratio
- Operating cash index ratio
- Operating cash inflow ratio
- Operating cash outflow ratio
- Long-term debt payment ratio
- Productivity of assets ratio
- Cash flow adequacy ratio
- Reinvestment ratio
- Dividends payout
