Financial Decision Making

Get familiarized with financial accounting fundamentals to be able to assess financial statements such as the balance sheet and P&L statement. Be introduced to the various tools and approaches used in corporate finance, the solvency of a company, and how to create value using maturity matching.

Introduction to a company’s financial cycle and debt’s impact on ROE (return on equity). Review concepts such as cost of equity and shareholders’ opportunity cost, WACC (weighted average cost of capital), and the different short and long-term approaches to creating value.

Learn about financial decision-making with a longer time horizon in mind by forecasting. Foresee future funding needs and how to track the flow of cash in and out of a company through its operational, financial, and investment activities.

Learn to calculate the required rate of return for shareholders, and how to distinguish between liquidity and profitability metrics.

Learn how to add value based on the way one’s company finances itself and the factors affecting this. Calculate a firm’s optimal capital structure.