In finding day sales outstanding you have divided total receivable by total sales Which i think is inappropriate because Receivable also includes of some amounts which are older than 90 days Which is some how can be imagined as bad debts for a movement. Is it right or not?
This helps me so much. I am a number thinker, which is hard when it comes to analyzing accounting. I focus on what numbers need to be where and making sure I balance, but I never take that other piece and apply comprehension to what I’m doing. This helps me SO much. Thank you.
I found this helpful after leaving graduate school for a number of years and now trying to set up a hospitality focused fund . I have to refresh myself in doing FA. Thank you .
3 years of uni taught us how to make financial statements but never taught us how to analyze them. Eventhough it sounds like creating financial statements does justice to the analysis part, I never really knew how they're linked to other statements (like aging schedule) I learnt so much more after watching this video.
This is the FIRST video I ever have seen, which PRACTICALLY gives THOROUGH knowledge about Balance sheet's interpretation! Thanks a lot sir!🙏🍫😊🙏 Lots of love from 🇮🇳Bharat (India)🇮🇳😊
I'm a Ph.D student, and I don't have any experience with financial management and analysis. You video help me understand the basics of everything. Thank you for your time and hard work. Wish you all the best.
I have been in the Finance for more than 21 years as Controller and i can say experience taught me that spelling and grammar is the basic skills you need to become a trusted one in Finance.
I really appreciate you taking the time to make this video. I have been out of school for awhile, and I have forgotten how to analyze financial statements. This video was very helpful in helping me remember.
For a very long time this video was on my Watch later list. Today I watched it and a learnt a lot of things from it, the ratio analysis in particular. Thanks so much for making this video Bill!!!
Mate great video! Always good to hear from someone who works at a high financial position. That's where I aspire to be some day! Thanks again for sharing your knowledge :)
I cant began to tell you how much I love your channel man... I have learned so much since the day i found your channel... I am the president of the accounting society/club at my school and I would be immensely grateful if you could fit it into your schedule to have a talk with us via zoom or even in person... whichever is more convenient for you. Im in Connecticut btw... please let me know if that would be possible
Thank you so much for posting this content. I always hoped to find a controller that would take me under their wing and train me; that hasnt happened yet. But I'm glad I found your channel until that time comes! Keep teaching us. We appreciate it.
Wow. This is indeed useful and inspiring. So to read and analyse the financial statements like a CFO is to be able to use financial ratios to analyse the numbers and make a meaning conclusion from it. I have been learning accounting for many years and learning financial ratios is not my favorite part. There are so many ratios out there and not easy to remember. Now I see it differently cos they are really very useful at work.
Exactly. I’m taking financial accounting in my MBA this semester, and my professor isn’t making sense already. No accounting background. Turned to the trusty TH-cam and found this video 😁
bro, great video! I'm learning all this right now. I don't know professors ask like we have to remember all these formulas, when you use a cheat sheet in the real world.
Just want to Thank you sooo much for the videos.I have almost followed all your videos.Helps me instantly to refresh my accounting knowledge with in very short time.Thanks a tonn
Thanks for creating this video,relably it has given mkre than the mearnig i gained yet from education & courses. It has served an aspiration fullfillment relaxation.
Great video! Please make more videos like this. Also, I would really appreciate if you could advice some advance learning material on how to analyze financials and how to value business and level 2, 3 investments.
Hi Bill, this is great presentation 👏. I would appreciate if you could please expound more on cash conversion cycle and how to balance AR and Inventory. I would appreciate another deep dive on income statement items more so on the top down approach. A big thank you 😊 🙏
I wish you could provide more details to that Balance Sheet Analysis in order to help in day trading and Investing strategies. It sounds like missing a lot of ratios :). Thank you for that great content.
Hello TFC, terrific overview, thanks for the walk-through! Regarding DPO, your formula = ( credit purchases / AP balance ) x # days in the period. However, other sources define DPO = ( AP balance / COGS ) x # days in period. I'm having a difficult time reconciling the two formulas. Do they both arrive at the same metric?
I enjoy your video very much. The content is practical and the way you present them is logical. I did not major in finance nor accounting and have been kinda jumping between finance and accounting roles, not out of my interest but just got pushed by “destiny”. Now I started to actually like the work. Hopefully I will eventually become as knowledgeable as you are.
Bill Hanna! Man you make Accounting seem fun and I see the passion you have for it which is also encouraging! I'm currently in school and trying to see if I want to take an Accounting turn in my education! I have taken Managerial and Financial Accounting already which was a few years ago and I still understand the concept of Financial Accounting because I'm not really a fan of Managerial. Controller is where I think I'd want to be if I take this turn. I appreciate your expertise/skills and will continue to follow your videos man! God bless you! 🙏🏽
If I was you then you need to study coding too. A lot of finance Jobs that strictly siding out b/s and p&p reporting will go and replaced by tech and it will be more on insights but mainstreaming systems too
Hi Bill, I am a new investor in the US market, find it really useful when you explain the 10Q report, I hope you could teach us more on how to rate a financial report since some companies share prices still plummeted with increasing dilute EPS or KPIs
Mate great video! Always good to hear from someone who works at a high financial position. That's where I aspire to be some day! Thanks again for sharing your knowledge :)
Trailing LTM Financial KPIs (alongwith customer verticals, business partnership in line with business strategy laid down by CEO) are reviewed for covenant compliance, cash position, FP&A, investment management etc. All this is covered in financiall model. No CFO goes into AP AR accrued expenses schedules etc what you did is actually a controller JD. Helpful for accountants.
KPIs. AR AP turnover, defensive intervals, liquidity ratios, financial leverages, CFOs, profitability ratios etc above all CFO makes sure business is strategically aligned by looking at key areas of business model i.e. geography, customers' verticals, competences, technological implications, market participants and trends etc. They spend more time on future planning rather than looking at past data for long discussion.
I'm glad I find your channel, do you by any chance have video explaining about the balance sheet items? and shareholder's equity? I want to understand more about common stock, preferred stock, Treasury stock, I love finance as you do! any help 🙏
At 10:32,does sales and credit sales are same ? Because Sales need not to be credit sale always. One might pay cash during sale rather than putting the payment on hold.
I love your videos! You explain them extremely easy to understand, specially since my background is not in accounting. Currently going for my CPA certification, so I can go into accounting.
Great video. You mention you can look at account receivable time schedule, and property plant & equipment more in depth. If i was analyzing a public company balance sheet, where would I find this information?
Hi Just finished this vedio Great content and way of presentation is awesome It’s really helps me to understand few concepts Kindly continue the classes God bless you
Thank you for this video, it's very helpful. I would like to ask what is the difference between Financial Leverage ratio described in the video (=Total Assets/ Total Equity) & the Degree of Financial Leverage (=%variation in EPS/% Variation in EBIT)
Thanks a ton sir for your tremendous knowledge & skillsets which you have been sharing with us. Really grateful to you & God bless you with abundance💫🙌
One thing I would like to know. When a CFO analysis risk/stock effects of the company, do they consider the stock employee program? For example if all the front line workers take 10% into the buying stocks of the company. Is it considered what the stocks will look like when laying off those workers?
Hello, I am really glad to meet your channel! My english is not really good but your pronunciation is quite clear and understandable compared to other channels. Instalike and instasubscribe! Nice work and keep it up! Rewards from Madrid, Spain
Level up your Accounting Career by enrolling in our 6-weeks program here controller-academy.com/courses/controller-academy
🙌
Do u have such course for Sr.accountant?
In finding day sales outstanding you have divided total receivable by total sales
Which i think is inappropriate because
Receivable also includes of some amounts which are older than 90 days
Which is some how can be imagined as bad debts for a movement.
Is it right or not?
Hi, also the EBIT was 325,000 and you mentioned 250,000.
I really can learn anything on YT and google. What a time to be alive! ❤️
I have learnt more from you than 3 yrs at university studying accounting and finance. Keep the great work man your vids have helped me alot.
Best thing I read all day
Vert true. Agreed
Thank u sir...☺️☺️
What!!? Which university is that?
The same thing for me
TH-camrs prove to be the best teachers, they are an asset. Some teachers (not all of them) are liability.
This helps me so much. I am a number thinker, which is hard when it comes to analyzing accounting. I focus on what numbers need to be where and making sure I balance, but I never take that other piece and apply comprehension to what I’m doing. This helps me SO much. Thank you.
studied from your clips everyday has got me a good job. Thank you very much!
Wow!!! You've explained the balance Sheet so clearly and simple. You made it so easy to understand
I found this helpful after leaving graduate school for a number of years and now trying to set up a hospitality focused fund . I have to refresh myself in doing FA. Thank you .
First ever video I've seen on TH-cam without a single dislike 👎, you're doing an outstanding job, thank you much 👏 🙏
3 years of uni taught us how to make financial statements but never taught us how to analyze them. Eventhough it sounds like creating financial statements does justice to the analysis part, I never really knew how they're linked to other statements (like aging schedule) I learnt so much more after watching this video.
Glad you enjoyed the video!
This is the FIRST video I ever have seen, which PRACTICALLY gives THOROUGH knowledge about Balance sheet's interpretation! Thanks a lot sir!🙏🍫😊🙏 Lots of love from 🇮🇳Bharat (India)🇮🇳😊
I'm a Ph.D student, and I don't have any experience with financial management and analysis. You video help me understand the basics of everything. Thank you for your time and hard work. Wish you all the best.
How did you complete Ph.D without knowing these basic concepts sir?
I have been in the Finance for more than 21 years as Controller and i can say experience taught me that spelling and grammar is the basic skills you need to become a trusted one in Finance.
Are…
This guy is a great teacher and explains things simly.
I really appreciate you taking the time to make this video. I have been out of school for awhile, and I have forgotten how to analyze financial statements. This video was very helpful in helping me remember.
Thanks Victoria
Your way of explaining is one of the best I've ever seen. Bravo!
Thanks Borko!
this was just beautiful!!! i shed a tear watching this video . I learned more with you than what i learned in grad school.
Thank you!
Nice video teacher. I'm not fluent in English but I'm improving my skills. Thanks for the explanation! A hug from Brazil!
Very well explained, this is a must-see for everyone who is running a business.
I am brand new to this world and I am so glad I found your channel.
Many things you teach are so valuable and can’t be found anywhere else on TH-cam. Thanks! Subscribed!
Welcome aboard!
I can't believe this is free; keep up the incredible work!
For a very long time this video was on my Watch later list. Today I watched it and a learnt a lot of things from it, the ratio analysis in particular. Thanks so much for making this video Bill!!!
Glad it was helpful!
Mate great video! Always good to hear from someone who works at a high financial position. That's where I aspire to be some day! Thanks again for sharing your knowledge :)
Thank you!
Thank you for all the information you shared to us, this will help us to elevate our knowledge on how to analyzed financial statement.
Great Allan
I cant began to tell you how much I love your channel man... I have learned so much since the day i found your channel... I am the president of the accounting society/club at my school and I would be immensely grateful if you could fit it into your schedule to have a talk with us via zoom or even in person... whichever is more convenient for you.
Im in Connecticut btw... please let me know if that would be possible
Hey Peter. Email me. We can arrange something for sure
@@TheFinancialController absolutely, I will wait for the semester to start, then I will shoot you an email. Thanks bro
Thank you very much for this easy explanation. I learn more watching this video than in my MBA from program
Thank you so much for posting this content. I always hoped to find a controller that would take me under their wing and train me; that hasnt happened yet. But I'm glad I found your channel until that time comes! Keep teaching us. We appreciate it.
:) thanks for the kind words; keep on learning
This channel is recommended for all ✅
Great lecture,I am an accountant myself and a CPA aspirant..
Wow. This is indeed useful and inspiring. So to read and analyse the financial statements like a CFO is to be able to use financial ratios to analyse the numbers and make a meaning conclusion from it. I have been learning accounting for many years and learning financial ratios is not my favorite part. There are so many ratios out there and not easy to remember. Now I see it differently cos they are really very useful at work.
Thanks brother. Glad you found it helpful
Very helpful learning for the Management Executive's. Thank you.
Very good, I learned a lot in watching this, it helps me to understand much more now about these sheets. Thank you.
Euqity is what you own, liability is what you owe, asset is what you have with you, which is what you owe + what you own.
This is one of the best Analysis I have learnt today
This is very helpful for my MBA Reporting and Analysis Course, bear in mind I have no accounting background!
Glad it was helpful!
Exactly. I’m taking financial accounting in my MBA this semester, and my professor isn’t making sense already. No accounting background. Turned to the trusty TH-cam and found this video 😁
I always come back and watch this video, every time I learn something new new
bro, great video! I'm learning all this right now. I don't know professors ask like we have to remember all these formulas, when you use a cheat sheet in the real world.
That’s right :)
Just want to Thank you sooo much for the videos.I have almost followed all your videos.Helps me instantly to refresh my accounting knowledge with in very short time.Thanks a tonn
Thanks for watching
Thank u for responding to my comment.i request if you can make a video on deferred revenue expense with example and journal entries.
I declare you Master Finance Wizard! Keep the excellent content my friend👍
Thanks brother
I have probably learnt more in this 21 minute video, than I have doing loads of accounting exams. Thanks so much.
Thanks for creating this video,relably it has given mkre than the mearnig i gained yet from education & courses. It has served an aspiration fullfillment relaxation.
It's my pleasure
The way you explain the topic is excellent. Thanks a lot.
Thanks and welcome
I can listen to you and learn all day. Ty
Getting ready for the investment ops analyst interview tomorrow and your video is so great for interview prep.
Best of luck!
Great explanation! it makes it so easy to understand how to read a balance sheet. Excellent work!
Thank you!
I am more interested in accounting since I watched your videos, bravo!
Happy to hear that!
Superb analysis you have taught lot many things pertains to FS. Thanx for your efforts.
Thank you Bill, your knowledge is worth thousands of dollars/pounds or in other currencies, many thanks again!
Thanks Pawel!
One of the best videos on Finance i have seen so far... Hope will learn a lot from you Dear Respected Sir
Thank you 🙏
Great video! Please make more videos like this. Also, I would really appreciate if you could advice some advance learning material on how to analyze financials and how to value business and level 2, 3 investments.
Great video I like your detailed narrative
I like the way you are explaining the balan sheet its so amazing thank you so much ❤️❤️❤️🤛🏻
Best summary of the financial statement analysis from management POV. Auditors also look for the same.
Hello
Hi Bill, this is great presentation 👏. I would appreciate if you could please expound more on cash conversion cycle and how to balance AR and Inventory.
I would appreciate another deep dive on income statement items more so on the top down approach.
A big thank you 😊 🙏
Will do! Thanks Evans
Great and useful video, you have clarified something to me in 2 min, really appreciate
Keep posting such interesting stuff please
Good luck
Thanks Adel!
outstanding instructions. Very detailed with the explanation and I wasnt bored at all.
Glad you enjoyed it!
Beneficial Video, I'm not in the financial field, but still grasp almost all information 👍
Thanks for teaching me a lot. Keep watching your channel.
Thank you...crisp ..simple...to the point...Presentation..
Great video indeed, well explained. I like it and have subscribed. Greetings from Zimbabwe 🇿🇼.
Pretty much straightforward without any jargon language and explain beautifully.
Thanks Vikas
👏🏾👏🏾👏🏾👏🏾my accounts lecturer was good but you do it better.
Best explanation from practical approch
Glad you liked it
I wish you could provide more details to that Balance Sheet Analysis in order to help in day trading and Investing strategies. It sounds like missing a lot of ratios :). Thank you for that great content.
This is the firstt video i watch in you channel, I subscribe without knowing xD
Thank you, learned a lot, nice & clean presentation & great visual spreafsheet
Thanks Financial Controller for the Knowledge Much appreciated. From Kenya.
Clear. Very useful. You’ve got a new subscriber😊
Could you do a similar video for the income statement and cash flow please!
Sure will do
@@TheFinancialController Please do a similar one for the Income Statement and Cash Flow
7:02 why there is so much difference between the average and median networth?
Very well explained...i am CA from India :) this has been really helpful
Thanks Sonia
Hello TFC, terrific overview, thanks for the walk-through! Regarding DPO, your formula = ( credit purchases / AP balance ) x # days in the period. However, other sources define DPO = ( AP balance / COGS ) x # days in period. I'm having a difficult time reconciling the two formulas. Do they both arrive at the same metric?
Hi Dennis. Your formula is correct. I got it almost reversed 😅thanks for pointing this out, some paid close attention;)
Request to please highlight this comment so that others get correct information.
I always watching this ur video channel, Sir.. and gonna waiting another best video from you. Regards From Indonesia 🇮🇩
I enjoy your video very much. The content is practical and the way you present them is logical. I did not major in finance nor accounting and have been kinda jumping between finance and accounting roles, not out of my interest but just got pushed by “destiny”. Now I started to actually like the work. Hopefully I will eventually become as knowledgeable as you are.
You will do great, I know it
Bill Hanna! Man you make Accounting seem fun and I see the passion you have for it which is also encouraging! I'm currently in school and trying to see if I want to take an Accounting turn in my education! I have taken Managerial and Financial Accounting already which was a few years ago and I still understand the concept of Financial Accounting because I'm not really a fan of Managerial. Controller is where I think I'd want to be if I take this turn. I appreciate your expertise/skills and will continue to follow your videos man! God bless you! 🙏🏽
If I was you then you need to study coding too. A lot of finance Jobs that strictly siding out b/s and p&p reporting will go and replaced by tech and it will be more on insights but mainstreaming systems too
Hi Bill, I am a new investor in the US market, find it really useful when you explain the 10Q report, I hope you could teach us more on how to rate a financial report since some companies share prices still plummeted with increasing dilute EPS or KPIs
th-cam.com/video/BDRijpYfuBA/w-d-xo.html
Great content and presentation 🔥
Thanks Anoop
Masha allah.you are a great teacher.i like to listen your videos .Thank you very much.
Mate great video! Always good to hear from someone who works at a high financial position. That's where I aspire to be some day! Thanks again for sharing your knowledge :)
Trailing LTM Financial KPIs (alongwith customer verticals, business partnership in line with business strategy laid down by CEO) are reviewed for covenant compliance, cash position, FP&A, investment management etc. All this is covered in financiall model. No CFO goes into AP AR accrued expenses schedules etc what you did is actually a controller JD. Helpful for accountants.
KPIs. AR AP turnover, defensive intervals, liquidity ratios, financial leverages, CFOs, profitability ratios etc above all CFO makes sure business is strategically aligned by looking at key areas of business model i.e. geography, customers' verticals, competences, technological implications, market participants and trends etc. They spend more time on future planning rather than looking at past data for long discussion.
This is SO GOOD for my study and work! Thank you so much!!
I'm glad I find your channel, do you by any chance have video explaining about the balance sheet items? and shareholder's equity? I want to understand more about common stock, preferred stock, Treasury stock, I love finance as you do! any help 🙏
I do have some videos on these topics and more to come soon
At 10:32,does sales and credit sales are same ? Because Sales need not to be credit sale always. One might pay cash during sale rather than putting the payment on hold.
Thank you Sir, i keep on coming back to your vids.
Glad you like them!
I love your videos! You explain them extremely easy to understand, specially since my background is not in accounting. Currently going for my CPA certification, so I can go into accounting.
Thank you very much for the explanation and sharing it. 😊👍 Cheers
Simple & straight to the point. Many thanks
Great video. You mention you can look at account receivable time schedule, and property plant & equipment more in depth. If i was analyzing a public company balance sheet, where would I find this information?
i learned a lot today thanks a lot
Glad to hear that
Hi
Just finished this vedio
Great content and way of presentation is awesome
It’s really helps me to understand few concepts
Kindly continue the classes
God bless you
Thanks Nizar!
Thank you for this video, it's very helpful. I would like to ask what is the difference between Financial Leverage ratio described in the video (=Total Assets/ Total Equity) & the Degree of Financial Leverage (=%variation in EPS/% Variation in EBIT)
Thank you for sharing, it's very helpful.🙏
I've learned so much. Thank you so much for sharing your knowledge.
You are so welcome!
Thanks a ton sir for your tremendous knowledge & skillsets which you have been sharing with us.
Really grateful to you & God bless you with abundance💫🙌
Stop calling anyone as sir / madam. Now atleast, come out of slavery mindset.
wow. fantastic job. well put together. i definitely have a better grasp of how to analyze a balance sheet! thank you so much!!
You’re the best. Thank you for doing what you do
One thing I would like to know. When a CFO analysis risk/stock effects of the company, do they consider the stock employee program? For example if all the front line workers take 10% into the buying stocks of the company. Is it considered what the stocks will look like when laying off those workers?
Your videos are simply inspiring ..... I have a request for a video discussing CV for the financial role especially entry-level.
Sure :)
Hello, I am really glad to meet your channel! My english is not really good but your pronunciation is quite clear and understandable compared to other channels. Instalike and instasubscribe! Nice work and keep it up! Rewards from Madrid, Spain
:) 🙏 thanks