Cambridge
Academy
In London
Course Description
Course Duration: Five Training Days
Course Language: Arabic or English
Include:
Scientific material with TAB
Workshops
Reception and farewell at the airport
Daily lunch
Coffee Break
Introduction:
This advanced accounting and finance management course offers an in-depth overview of the accounting and finance world. It examines the internal workings of the finance/control function as it interacts with various constituencies to provide information for decision-making under uncertainty.
Furthermore, the advanced accounting and finance management course delves into the impact of capital markets on corporate finance, risk, and governance.
The advanced accounting and finance management program presents essential financial tools and contextualizes their application for meaningful analysis. It provides a comprehensive understanding of strategic business management's financial and economic dimensions. It fosters an in-depth comprehension of financial statements, data analysis, planning, and control.
Participants in the advanced accounting and finance management course will become well-versed in advanced accounting principles, finance management, and the integral role of governance in corporate environments, leaving with an advanced accounting certificate that symbolizes a significant elevation in their professional capabilities.
Understanding What Is an Advanced Accounting Course:
An advanced accounting course goes beyond the fundamentals to explore complex and specialized areas of accounting. In this course, participants will encounter rigorous content that pushes their knowledge to higher levels, preparing them for advanced certification in accounting and fulfilling roles that require a deep mastery of finance and accounting principles.
Targeted Groups:
Financial controllers.
Chief accountants.
Finance or accounting managers, supervisors.
Staff accountants.
General ledger accountants.
Professionals in accounting and finance who wish to upgrade their skills.
Course Objectives:
By the end of this advanced accounting and finance management course, participants will be able to:
Define the nature and scope of corporate financial reporting.
Critique the concepts, rules, and procedures for corporate financial reporting.
Interpret financial statements according to IFRS, FAS, SEC, and other standards.
Incorporate risk management and corporate governance into business practices.
Analyze the financial performance of an organization through its financial statements.
Apply discounted cash flow (DCF) methods to financial decision-making.
Navigate the budgeting process, including performance evaluation.
Understand cost behavior and its impact on management decisions.
Communicate and scrutinize financial information effectively.
Appreciate the integration of finance, accounting, and governance.
Implement business plans that align with strategic intent.
Reduce territorial disputes between business functions.
Enhance skills in all areas of finance, accounting, and governance.
Lead the finance and accounting process.
Recognize increasing professionalism to address current and future challenges.
Targeted Competencies:
Utilizing financial information for guiding decisions.
Clarifying KPIs across different functions.
Incorporating strategic thinking and implementation in professional practice.
Challenging the status quo in finance/accounting, budgeting, and decision-making.
Acknowledging the importance of external standards, governance, and qualitative measurements.
Identifying Value Creation principles for decision-making.
Course Content:
Unit 1: Accounting: An Introduction
What is accounting?
What forms can accounting take?
Definition and importance of profit.
Decision scenarios explored.
Funding business operations.
Who is interested in profit?
Cash vs. accrual accounting.
Cash flow forecasting and improvement.
Companies choose accounting policies.
Accounting standards.
Unit 2: Financial Statements, Accounting Policies, and Reporting Standards
Income Statement – Basic Components:
Revenues and the questions.
Direct/variable/product costs.
Indirect/fixed/period costs.
Mixed costs.
Non-cash deductions: the what, the why, and the how.
Depreciation: various methods explored.
Amortization: impairment test.
Depletion: when and how.
The difference between profit and cash.
A closer look at costs and expenses.
Profit calculations.
Summarizing profit statements and extracting the key figures.
Balance Sheet:
Assets – current and long-term.
Liabilities – current and long-term.
Equity – components.
Capital employed - options.
Managing the working capital cycle.
Cash Flow Statement:
Operating sources/uses.
Investing sources/uses.
Financing sources/uses.
Unit 3: Making and Communicating Decisions Using Budgets
The master budget.
Budgeting is a planning tool, a control mechanism, a communications device, and value creation.
Budgeting Sales to "drive" the correct budget.
Operating budget components.
Financial budget.
Pro forma financial statements.
Cash budgets.
Capital budget.
Interrelationship of financial projections.
Dynamics and growth of the business system – a model review.
Flexible vs. traditional budgets – the pros and cons.
Variance analysis as a tool for improvement and communications.
Price and volume effects within variance analysis: State of the art.
Unit 4: Financial VS Management Accounting
Differences and similarities.
Objectives of managerial accounting.
Managerial versus financial accounting.
Role of the managerial accountant.
Financial accounting: what we show to the public.
Objectives of financial accounting.
Role of a financial accountant.
Cost terminology: variable, fixed, controllable, non-controllable, incremental, sunk, opportunity, and relevant.
Cost behaviors in cost-volume-profit scenarios: contribution margin and fixed costs.
Breakeven and targeted net income scenarios.
Cost/benefit analysis.
Unit 5: Ultimatum Goal of Planning – Valuation, Business Performance and Decision-Making:
Definitions of value.
Responsibility centers: cost, profit, and investment.
Measuring responsibility center performance.
Segment reporting internally and externally.
Business Valuation from multiple perspectives.
Managing for shareholder value.
Shareholder value creation in perspective.
Evolution of value-based methodologies in planning and budgeting.
Creating value in restructuring and combinations beyond planning and reporting- the case for real change!
Unit 6: What is Finance and Working Capital – Liquidity or Bankruptcy:
Finance is a numbers game.
Yet finance is more than the numbers.
The three major components of finance.
Working capital (WC) defined.
Relationship to current ratio.
Components of WC.
Inventory.
Accounts receivable.
Cash.
Accounts payable.
Notes payable.
The critical ratios to compute.
What should they be and why?
The questions to ask.
The answers you want.
Unit 7: Capital Structure – Its Significance and Impact:
Equity capital - what is it?
Equity capital – calculating its costs/required rate of return.
Debt capital – what is it?
Debt capital – calculating its costs/required rate of return.
Weighted Cost of Capital (WACC) – why is it so important?
Calculating your WACC.
When and how to use WACC?
Leverage: two-edged sword - defined.
Operating leverage - calculated.
Financial leverage - calculated.
Combined leverage – Wow! Look at the impact.
Unit 8: CAPEX - Analysis of Investment Decisions with What-if Risks:
Cash flows and the time value of money.
Discuss the capital project evaluation process.
Ideas for the future with a multiple-period horizon.
Estimating cash flows within the business system.
Net Present Value (NPV) and Internal Rate of Return (IRR) are preferred methods.
Profitability Index (PI) and Modified Internal Rate of Return (MIRR) are reasonable alternatives.
Defining the approval criteria and review process.
Post-implementation audits of capital projects.
Refinements of investment analysis.
Dealing with risk and changing circumstances – how do we explain?
Cost of capital and return standards.
Benchmarking discount and hurdle rates.
Unit 9: Risk Management as an integral part of Corporate Governance:
Understanding uncertainty and risk/opportunity.
Identifying strategic financial risks.
Identifying operational risks.
Identifying functional financial risks.
Assessing financial risks in each perspective.
Finding our risk profile (risk appetite).
Clarifying desired outcomes, expected outcomes, and actual outcomes.
Performance measures – the need for FRM/ERM.
Quantitative and qualitative risks.
Developing FRM/ERM strategy – do we need a CRO?
Other risk issues to be concerned with are joint ventures, alliances, product liability, environmental risks, outsourcing risks, growth risks, R&D risks, natural disasters, catastrophic risks, supply chain risks, reputation risks, and psychology of risk.
Unit 10: Corporate Governance:
What is corporate governance?
Corporate governance environment.
Relevance of corporate governance.
Perspectives on corporate governance.
Shareholders vs. stakeholders.
Voluntary vs. enforcement.
1-tier vs. 2-tier boards.
Chairman/CEO duality.
The independent director.
Corporate governance models.
Structure and practices.
Emerging trends in corporate governance.
Principal-agent theory and applications.
Independence vs. appearance.