Corporate Finance - Part 2

Corporate Finance - Part 2

Overview

This tutorial will provide you with a firm understanding of how to properly and effectively measure business performance using FCF. We demonstrate how economic profit can be used to make value-creating business decisions, and why it is a superior metric to more traditional business performance measures. We illustrate the differences between economic profit and free cash flow (FCF).

Objective

On completion of this tutorial, you will be able to:
- Address the shortcomings of net income and some of the more widely used cash flow metrics as measures of business performance
- Describe the use of free cash flow (FCF) and economic profit as a business performance measurement tool
- Recast the income and balance sheet statements to create a NOPAT statement
- Compare the economic profit and FCF approaches to show the differences between the two metrics

Content

Module 1: Measuring Business Performance - Free Cash Flow
Topic 1: Overview of Performance Management
Topic 2: Free Cash Flow
Topic 3: Financial Statement Adjustments

Module 2: Measuring Business Performance - Economic Profit
Topic 1: Economic Profit
Topic 2: Financial Statement Adjustments
Topic 3: Comparison of Economic Profit & Free Cash Flow

Details

Code
TEPCF17000201
Venue
ePlatform
Language
English
Level
Intermediate
Hours
SFC:2.5, PWMA:2.5
Fees
All Member: HK$700
Non-Member: HK$975
Staff of Corporate Member: HK$700