Finance for Non-Finance Managers (2 days)

Day 1:

Morning- 9.00am - 1.00pm

MODULE 1: SPEAKING ACCOUNTING

Understanding why accounting / finance is important?

• Know the objective of a business / Organisation
• A brief history of Accounting and the purpose of Financial Reports

MODULE 2: ACCOUNTING FRAMEWORK

• Understand the different between Conceptual Framework and Regulatory Framework
• What are the Fundamental Accounting Concept and assumption used in preparing Accounting Records and why these are being used

MODULE 3: TYPES OF ACCOUNTS

• Differentiate between Assets, Liabilities, Expenses, Income and Equity
• Understanding the Accounting Equation

Assets = Liabilities + Equity

• Differentiate between OPEX and CAPEX

Afternoon session: 2:00pm - 5:00pm

MODULE 4: READING FINANCIALS

• Introduction to the various Financial Statements and their uses

Statement of profit or loss and other comprehensive income

Statement of financial position

Statement of changes in equity

Statement of cash flows

• Tools use in Financial Statement Analysis

Vertical Analysis

Horizontal Analysis (Trend Analysis)

Ratios Analysis – operational ratios, financial ratios and valuation ratios

• Statement of cash flows

The difference between Profit and Cash and why the saying “Cash is King”

How to analyse the statement of cash flows
 

• Other considerations

How to read Notes to the accounts in Published Financial Statement

Different between Publish Accounts and Management Accounts

What are the Limitations of Ratio Analysis

DAY 2 

Morning Session: 9:00am - 1:00pm

MODULE 5: BUILDING BUDGET

Types of budgets

• Differentiate the various types of budgets – Incremental, Zero-based and Rolling

MODULE 6: COMPARING BUDGET APPROACHES

• When and which is better - Top-down or Bottom-up approach?

MODULE 7: BUDGETING AS A PLANNING AND CONTROL TOOL

• Using the budget to control the business and what are the limitation factors.
• Understanding the Budgeting process and its coordination
• How to forecasting sales revenues and expenses and building up the budgets numbers
• When to adjust the budget to reality

Afternoon session: 2:00pm - 5:00pm

MODULE 8: COSTING DECISION

Cost Behaviour

How is Cost being define?

How to differentiate between the direct and indirect cost?

Differentiate the controllable and uncontrollable cost

Cost – Volume – Profit Analysis

• Learning the Contribution formula and thus working with the Break –even Point analysis
• How to decide on the Pricing?

MODULE 9: INVESTMENT APPRAISAL

Understand the basic investment appraisals such as Payback analysis, Return On Investment (ROI) and Net Present Value (NPV) to better make sound decisions.