Weekly study8 hours
Get an insight into the true value of a business with ratio analysis
Financial statements contain important information, but what can this data show us about the health of a company? Welcome to Ratio Analysis.
Ratios are used to help stakeholders identify trends, compare results with other companies and assess performance. This course will show you how to use ratios to evaluate various aspects of the business, such as profitability, liquidity, efficiency, gearing and investment.
What are ratios? How do we calculate them? What do they mean and what are the implications for the business? These are some of the questions this course will help you address.
- Introduction to trend, common size, ratio and industry analysis
- Use of analyses to evaluate company performance
- Explanation of the main liquiduty and efficiency ratios
- Introduction to and calculation of the main investor ratios
- Learn how to interpret outcomes and identify causes of changes
Learning on this course
You can take this self-guided course and learn at your own pace. On every step of the course you can meet other learners, share your ideas and join in with active discussions in the comments.
What will you achieve?
By the end of the course, you‘ll be able to...
- Identify the main user groups of financial information and their requirements
- Apply ratios to analyse key areas of interest
- Explore the limitations of ratio analysis
- Calculate the main liquidity and efficiency ratios
- Explain and calculate the main investor ratios
Who is the course for?
This course would suit anyone looking for additional basic accounting skills. These are skills that can help you make better decisions and advance in your career. It may be of particular interest to people in senior management and leadership roles, who lack an accounting background.
Please note that the staff described in the ‘Who will you learn with?’ section below may be subject to change.