CRASH COURSE IN ACCOUNTING AND FINANCIAL STATEMENT ANALYSIS, SECOND EDITIONMATAN FELDMAN ARKADY doc

[...]... Established by investment bankers, Wall Street Prep is a global full-service financial training firm, providing self-study programs as well as instructor-led training and e-learning services to investment banks, financial institutions, Fortune 1000 companies, and academic institutions Self-Study Programs Available Online (www.wallstreetprep.com) Crash Course in Reading and Analyzing Financial Reports... Authors Matan Feldman is Founder and CEO of Wall Street Prep, a provider of step-by-step self-study courses and customized university and corporate training seminars in financial accounting, corporate finance, financial modeling, valuation modeling, and M&A modeling Before Wall Street Prep, he has worked as an Equity Research Associate at JPMorgan Chase & Co and as a Financial Analyst in the M&A group... 1 Introduction to Accounting What Is Accounting? Accounting is the language of business It is a standard set of rules for measuring a firm’s financial performance Assessing a company’s financial performance is important for many groups, including: ➢ The firm’s officers (managers and employees) ➢ Investors (current and potential shareholders) ➢ Lenders (banks) ➢ General public Standard financial statements... should make an investment? Accounting Facilitates Corporate and Investment Decisions A major part of corporate and investment decisions relies on analyzing all of the companies’ financial information in the above-mentioned cases Accounting, the standard language by which such financial information can be assessed and compared, is fundamental to making these decisions Who Uses Accounting? Accounting is used... etc.) Overview of the Financial Accounting Standards Board The SEC has historically charged the private sector with establishing and maintaining financial accounting and reporting standards Accordingly, FASB was established in 1973 to carry out these functions on the behalf of the SEC FASB is composed of seven full-time members appointed for five years by the Financial Accounting Foundation (FAF),... and IRS Academia Financial Accounting Standards Board (FASB) Types of FASB Pronouncements 04_047011 ch01.qxp Statements of Financial Accounting Standards (SFAS) SFAS are considered Generally Accepted Accounting Principles (GAAP) Interpretations Financial Accounting Concepts Emerging Issues Task Force Statements Modifications or extensions of existing SFAS Objectives and concepts underlying establishment... Accepted Accounting Principles (GAAP) are: ❏ Rules and regulations governing accounting ❏ Developed by the SEC on behalf of FASB ❏ Communicated through the issuance of Statements of Financial Accounting Standards (SFAS) ❏ All of the above Exercise 5: IFRS International Financial Reporting Standards (IFRS) are: ❏ Rules and regulations governing international accounting ❏ Developed by FASB and used by... organizations to small businesses to corporations (Exhibit 1.1) We will be discussing accounting rules as they pertain to publicly traded companies U.S Accounting Regulations Accounting attempts to standardize financial information, and like any language, follows rules and regulations What are these accounting rules, how are they established, and by whom? Generally Accepted Accounting Principles In the United... and financial institutions all over the world This crash course was written for both those with no prior accounting background, and for those who are a little rusty and need a refresher This book begins with an analysis of basic accounting rules and their impact on real-world situations, and then analyzes the structure and composition of the key financial filings (10-K, 10-Q, 8-K, etc.) Financial statements... practices ➢ Understand advanced Excel features—data tables and macros Step-by-Step Financial Modeling ➢ Simulate on-the-job financial modeling using our tutorial materials and Excel model templates ➢ Build, understand, analyze, and interpret complex financial earnings models ➢ Step-by-step instructions on building projections of financial statements Step-by-Step Advanced Valuation Modeling ➢ Learn Discounted . step-by-step self-study courses and customized university and corporate training seminars in financial accounting, corporate finance, financial modeling, valuation modeling, and M&A modeling. Before. of the Financial Accounting Standards Board The SEC has historically charged the private sector with establishing and maintain- ing financial accounting and reporting standards. Accordingly,. 6:59 PM Page 28 CRASH COURSE IN ACCOUNTING AND FINANCIAL STATEMENT ANALYSIS, SECOND EDITION MATAN FELDMAN ARKADY LIBMAN 00_047011 ffirs.qxp 1/18/07 8:52 AM Page i This book is printed on acid-free