Although credit analysts should have a basic sense of how to read financial statements, it is also important to apply analysis tools to the data to gain a better understanding of a borrower’s financial position and performance. Financial ratios can significantly improve an analyst’s ability to see an applicant’s total financial picture. This Course will discuss the essential components of the financial ratio analysis process to benefit both new and seasoned analysts. The discussion of the financial ratio analysis process will cover the following topics:
Considerations in using financial ratios
Keeping ratio analysis in perspective
Liquidity ratios including primary, secondary and liquidity trends
Leverage/coverage ratios including primary, secondary, likelihood of bankruptcy, and leverage and debt coverage trends
Performance ratios including primary, secondary, and profitability trends
Efficiency ratios including primary, secondary, and efficiency/activity trends
Other analysis tools including such tool as cash flow ratios and ratios for analyzing individuals
Financial Analysis Overview
Keeping Ratio Analysis in Perspective
Liquidity Ratios
Liquidity Trends
Leverage / Coverage Ratios
Leverage Trends
Debt Coverage Trends
Performance and Profitability Ratios
Profitability Trends
Efficiency Ratios
Efficiency / Activity Trends
Other Analysis Tools
Review Quiz
Course Evaluation
Credit analysts, lenders, risk managers, credit officers, portfolio managers and persons responsible for loan quality or review and those evaluating or regulating credit decisions would benefit from this course. Other financial professions seeking education in preserving quality lending and fully understanding and evaluating the loan underwriting process would also benefit from the training.
$799.00
Commercial Credit Analysis Certification
