FINANCE FOR ACCOUNTINGS
Management fundamentals
MODULES
M11 The balance sheet concept
50min 
M12 Income statement
1h30
M13 The underlying principles behind accounting transactions
1h20
M14 Preparation and presentation of the financial statements
1h20
EDUCATION GOALS
- Interpret financial statement
- Better understand your financial partners (chartered accountant, auditor, banker and CFO)
- Have a “passport” for the financial analysis
WORD FROM THE AUTHOR
Franck NICOLAS
“You know that cash flow and net income (or loss) are fundamental concepts for managing your business.
By understanding the consequences of depreciation, stock control and provisioning, you can anticipate and better control the presentation of your financial statements.
Good management is all about forward planning?”
Financial analysis fundamentals
MODULES
M21 From an accounting perspective to a financial perspective
1h40
M22 Financial solvency and liquidity
1h40
M23 Measuring performance
1h40
EDUCATION GOALS
- Better understand the challenges of financial analysis
- Understand the key principles required to analyse a company’s financial statements (performance, profitability, liquidity ratios etc.)
- Understand the fundamental concepts used to measure a company’s financial performance.
WORD FROM THE AUTHOR
Franck NICOLAS
“In the business world of today, if we want to understand the financial health of a competitor, customer or supplier, or if we simply want to better manage our department’s income and expenses, it is essential to know how to perform a financial analysis.
More so that in the past, financial strength is a key concern because it is one of the foundations of a company’s long-term survival.”
Understanding the tax impact
MODULES
M41 Understanding the tax impact
1h
EDUCATION GOALS
- To understand the difference between corporate income tax liability and personal income tax liability
- To understand why VAT is neither an expense nor a revenue item
- To know how to find the tax impact of corporate income tax and VAT in the financial statements
- To be able to find the corporate income tax and VAT payment schedules in the balance sheet
- To be able to assess the performance of disposable income
WORD FROM THE AUTHOR
Franck NICOLAS, Gilles BARJHOUX, Michel GRAFF
” Every tax decision that a company makes will affect its financial balances. It is also essential to fully understand the tax effects of corporate income tax and VAT in order to better understand a company’s financial statements.”
Preparation/Review of the annual financial statements
MODULES
M231 Preparation & bodies responsible for reviewing the annual financial statements
30min
EDUCATION GOALS
- Know the model formats for presenting the annual financial statements
- Know how to present the annual financial statements, i.e. the balance sheet, income statement and notes to the accounts
- Understand the methodology used to prepare the annual financial statements
- Understand the roles and challenges of the two groups of accounting professionals responsible for reviewing the accounts: chartered accountants and auditors
WORD FROM THE AUTHOR
Franck NICOLAS
“Preparing the annual financial statements means preparing the balance sheet, the income statement and the notes to the accounts. But how do we prepare these annual financial statements to meet the requirements of the French PCG rules? How do we prepare the notes to the accounts? What are the respective roles and legal responsibilities of the two types of accounting professional – chartered accountants and statutory auditors?”
Preparing the financial statements
MODULES
M241The summary documents and the PCG
30min
M242Balance sheet accounts
1H
M243Management operating accounts
30min
EDUCATION GOALS
- Know the eight classes and the codification used in the French PCG
- Understand what is meant by the “summary documents” making up the financial statements and their model formats
- Know the different balance sheet accounts and management operating accounts
- Know how to account for the balance sheet accounts and management operating accounts
WORD FROM THE AUTHOR
Franck NICOLAS
« All companies record their day-to-day accounting transactions gradually throughout the financial year, on the day they take place. These day-to-day transactions are then summarised in the trial balance. At the year end, the company must present summary documents relating to the year that has just ended (namely balance sheet, income statement and notes to the accounts). However, these summary documents are not created solely from the trial balance. At the year end, the accountant* needs to ensure that the account balances that will be used to prepare the balance sheet truthfully represent the underlying transactions and accurately reflect the company’s net worth at the end of the period.»
*The word accountant is used here in the broad sense: it refers to any person responsible for preparing the summary documents (independent chartered accountant, the company’s chief accountant, etc.).