Before you start
- No prerequisites.
What you will learn
- The impact of financial transactions on financial statements
- How to read and prepare balance sheets, income and cash flow statements
- How to use financial statements to understand the profitability and financial health of your organization
- How to choose between equity and debt to finance the growth of your firm
Financial accounting is called the “language of business,” and for good reasons. An examination of a firm’s financial statements - which reflect the company’s performance - reveals a wealth of information about its history, current financial health, and future potential. This is why business leaders use accounting to communicate their organization’s financial information to potential investors, shareholders, lenders, and regulators. Financial accounting allows an organization’s leaders to make sound business decisions and helps investors better understand company value.
In this course, you will learn how to interpret and communicate financial statements so that you can speak confidently on indicators such as assets, liabilities, shareholders’ equity, and goodwill. This course will teach you how to interpret the three financial statements core to any business--the income statement, balance sheet, and statement of cash flows--and analyze how they reflect business decisions. By the end of this course, you will know how to use financial accounting as a strategic tool to understand and grow your business--and understand and outmaneuver your competitors.
Who can take this course?
Unfortunately, learners from one or more of the following countries or regions will not be able to register for this course: Iran, Cuba and the Crimea region of Ukraine. While edX has sought licenses from the U.S. Office of Foreign Assets Control (OFAC) to offer our courses to learners in these countries and regions, the licenses we have received are not broad enough to allow us to offer this course in all locations. EdX truly regrets that U.S. sanctions prevent us from offering all of our courses to everyone, no matter where they live.