This course focuses on Financial analysis which is a major section of the CFA exam. This starts with accounting systems and how they differ around the world as investment advisors need to understand these nuances. We’ll also cover financial statements like the income statement, the balance sheet, and the statement of cash flows. CFA exam takers should understand the tools of finance such as ratio analysis as well as accounting though, so we will cover how financials are presented, accounting treatment of capitalized costs and other accounting concepts as applied to finance. Finally, we’ll finish up by giving some tips when taking the financial analysis section of the CFA exam.

 

Learning Objectives
  • Discover the roles of the statement of financial position, statement of comprehensive income, statement of changes in equity, and statement of cash flows in evaluating a company’s performance and financial position.
  • Identify the approach of financial reporting standards under IFRS and US generally accepted accounting principles (US GAAP) reporting systems.
  • Discover the components of the income statement and alternative presentation formats of that statement.
  • Explore the elements, uses and limitations of the balance sheet: assets, liabilities, and equity.
  • Identify cash flows from operating, investing, and financing activities and classify cash flow items as relating to one of those three categories given a description of the items.
  • Discover tools and techniques used in financial analysis, including their uses and limitations.
  • Explore the financial statement presentation of and disclosures relating to inventories.
  • Recognize and distinguish between costs that are capitalized and costs that are expensed in the period in which they are incurred.
  • Explore how a company’s strategy is reflected in past financial performance.
  • Identify test taking strategies for Financial Statement analysis problems.
Last updated/reviewed: March 21, 2024

Included In Certifications

This course is included in the following Certification Programs:

11 CoursesCFA Level 1 Preparation Certification Program

  1. CFA Level 1 Prep: Introduction to the CFA Exam
  2. CFA Level 1 Prep: 1 - Ethics and Professional Standards
  3. CFA Level 1 Prep: 2 - Quantitative Methods
  4. CFA Level 1 Prep: 3 - Economics
  5. CFA Level 1 Prep: 4 - Financial Reporting and Analysis
  6. CFA Level 1 Prep: 5 - Corporate Finance
  7. CFA Level 1 Prep: 6 - Equities Markets
  8. CFA Level 1 Prep: 7 - Fixed Income
  9. CFA Level 1 Prep: 8 - Derivatives
  10. CFA Level 1 Prep: 9 - Alternative Investments
  11. CFA Level 1 Prep: 10 - Portfolio Management
3 Reviews (26 ratings)

Reviews

5
Anonymous Author
A very solid course for getting both a basic understanding of financial reporting and analysis, as well as the ability to walkaway with a high level understanding of what you'll need to know for the CFA exam.
5
Anonymous Author
I like the CFA learning course. The trainer managed to address what am looking for
3
Anonymous Author
Course was 2 hours long but it is only one hour of CPE? Content was good
Prerequisites
Course Complexity: Intermediate

No advanced preparation or prerequisites are required for this course. However being part of a series, you may consider taking all related courses in sequence: https://www.illumeo.com/curriculum/cfa-level-1-preparation

Education Provider Information
Company: Illumeo, Inc., 75 East Santa Clara St., Suite 1215, San Jose, CA 95113
Contact: For more information regarding this course, including complaint and cancellation policies, please contact our offices at (408) 400- 3993 or send an e-mail to .
Instructor for this course
  Course Overview CPE
Course Syllabus
INTRODUCTION AND OVERVIEW
  Financial Statement Analysis11:06
  Financial Reporting5:40
  The Investment Statement 9:24
  The Balance Sheet9:35
  Statement of Cashflows13:53
FINANCIAL Ratios
  Ratio Analysis10:28
  Ratio Analysis Cont'd7:18
  Inventory Accounting10:43
  Long Life Assets and CAPEX11:16
  Using Financial Ratios10:53
  Financial Analysis Test Taking Strategies2:23
CONTINUOUS PLAY
  CFA Level 1 Prep: 4 - Financial Reporting and Analysis1:42:38
SUPPORTING MATERIAL
  Slides: CFA Level 1 Prep: 4 - Financial Reporting and AnalysisPDF
  CFA Level 1 Prep: 4 - Financial Reporting and Analysis Glossary/ IndexPDF
REVIEW AND TEST
  REVIEW QUESTIONSquiz
 FINAL EXAMexam