As a module relatively new to us, financial management started off with how a company finances itself, and what is the role of a financial manager.
The main learning objective of this module is the ability to understand financial reports. We learnt how to understand the cash flow statement, balance sheets, and profit and loss statements. We then used formulas to analyse the company's financial statements to understand its situation.
This skill is particularly important as we can know how the company performs for its fiscal year. For example, from the debt ratio we can know how much of the company's funding comes from debt. Quick ratio, on the other hand, determines how well the company can meet its short term liability.
In conclusion, I have learnt to analyse and understand financial statements for a company, and can now further understand the performance and situation of a company.
0 comments:
Post a Comment