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There are 3 modules in this course
Master financial statement analysis and ratio analysis to evaluate company performance, liquidity, solvency, efficiency, and profitability. Learn how to interpret financial data and make better business, investment, and financial decisions.
This course gives you a practical foundation in analyzing financial statements using structured ratio analysis techniques. You’ll learn how horizontal and vertical analysis reveal financial trends, how activity ratios measure operational efficiency, and how liquidity and solvency ratios help assess financial stability and risk.
We’ll explore key business performance indicators such as inventory turnover, receivables turnover, payables turnover, working capital efficiency, fixed asset turnover, and the cash conversion cycle. You’ll also learn how profitability ratios, return on equity, and dividend payout ratios help evaluate shareholder returns and corporate financial strategies.
Using step-by-step explanations and practical examples, this course helps you move beyond memorizing formulas toward understanding what financial ratios actually reveal about a business. Whether you are a student, analyst, investor, banker, or manager, you’ll gain useful skills for interpreting company performance with confidence.
By the end of the course, you’ll be able to calculate, interpret, and apply financial ratios to assess business health, compare performance, and support data-driven financial decisions.
This module introduces the fundamental techniques used in financial statement analysis. Learners explore horizontal and vertical analysis to understand financial trends and structural relationships within financial statements. The module also introduces the concept of ratio analysis and the role of activity ratios in evaluating operational efficiency and credit management.
What's included
6 videos4 assignments
Show info about module content
6 videos•Total 35 minutes
Horizontal and Vertical Analysis•7 minutes
Income Statement Horizontal and Vertical Analysis Example•8 minutes
Balance Sheet Analysis and Ratio Foundations•10 minutes
Introduction to Activity Ratios•10 minutes
Efficiency and Liquidity Analysis
Module 2•2 hours to complete
Module details
This module focuses on analyzing how efficiently a company manages its operational resources and short-term financial obligations. Learners examine activity ratios such as inventory turnover, payables turnover, and the cash conversion cycle, along with working capital and fixed asset turnover. The module also introduces liquidity ratios and solvency ratios to assess financial stability and risk.
What's included
6 videos4 assignments
Show info about module content
6 videos•Total 41 minutes
Activity Ratios Inventory and Payables Turnover•7 minutes
Activity Ratios Working Capital and Fixed Asset Turnover•6 minutes
Liquidity Ratios•9 minutes
Solvency Ratios•6 minutes
Profitability Ratios•9 minutes
4 assignments•Total 60 minutes
Efficiency and Liquidity Analysis•30 minutes
Working Capital Efficiency•10 minutes
Asset Utilization Analysis•10 minutes
Solvency and Profitability Overview•10 minutes
Practical Applications of Ratio Analysis
Module 3•3 hours to complete
Module details
This module applies financial ratios through comprehensive real-world examples. Learners calculate and interpret activity ratios, liquidity ratios, solvency ratios, and profitability ratios in practical scenarios. The module also explores return on equity (ROE) and dividend payout ratios to evaluate shareholder returns and corporate financial strategies.
What's included
9 videos4 assignments
Show info about module content
9 videos•Total 65 minutes
Comprehensive Example Activity Ratio Cash Conversion Part 1•10 minutes
Comprehensive Example Activity Ratio Cash Conversion Part 2•5 minutes
Comprehensive Example Activity Ratio Working Capital and Fixed Asset Turnover•5 minutes
Comprehensive Example Liquidity Ratios•6 minutes
Comprehensive Example Solvency Ratios•9 minutes
Comprehensive Example Profitability Ratios•8 minutes
ROE•9 minutes
ROE Example•9 minutes
Dividends Payout Ratio•4 minutes
4 assignments•Total 60 minutes
Practical Applications of Ratio Analysis•30 minutes
Activity Ratio Case Studies•10 minutes
Liquidity and Solvency Applications•10 minutes
Profitability and Shareholder Returns•10 minutes
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Is financial aid available?
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