Cash Flow Analysis

Mastering Cash Flow Analysis: Unlocking Financial Health and Sustainability

What you'll learn
The structure and components of a cash flow statement
Performance ratio analysis
Coverage ratios analysis
Dynamic cash flow

Requirements
Basic Math Skills: Comfort with basic arithmetic (e.g., addition, subtraction, percentages) will make financial calculations easier to understand.
Introduction to Financial Concepts: Familiarity with key terms like revenue, expenses, profit, and cash flow can help but is not required as these concepts will be explained in the course.

Description
Cash flow analysis is a crucial aspect of financial management, focusing on the movement of cash into and out of a business. Unlike profitability, which is often influenced by accounting practices, cash flow analysis provides a clear picture of liquidity and solvency. By analysing a company's cash flow, stakeholders can evaluate its ability to sustain operations, invest in growth, and meet financial obligations.Cash flow analysis examines a company’s cash inflows and outflows over a specific period to assess financial health. It involves examining the movement of cash into and out of a business over a specific period. It provides a detailed view of how a company generates and uses cash in its operations, investments, and financing activities. Unlike profitability measures, which accounting practices can influence, cash flow analysis focuses purely on liquidity and solvency.This lecture aims to provide a comprehensive understanding of cash flow analysis, focusing on its significance, methodology, and practical application in financial decision-making.This lecture is designed for students, professionals, and business owners who wish to enhance their financial management skills and gain insights into the liquidity and operational efficiency of a business.The primary aim of this lecture is to equip participants with the knowledge and tools necessary to analyse and interpret cash flow statements effectively, ensuring better financial planning and strategic decision-making.By the end of this lecture, students will have a clear understanding of the structure and components of a cash flow statement, be able to differentiate between operating, investing, and financing activities, and calculate key cash flow metrics for real-world application.

This lecture is designed for students, professionals, and business owners who wish to enhance their financial management skills and gain insights into the liquidity and operational efficiency of a business.