Introduction to Financial Statements

An introduction to the four main financial statements, with examples of how the statements are affected by different business transactions.

An introduction to balance sheets, including an explanation of the balance sheet equation and descriptions of assets, liabilities and shareholders’ equity.

The income statement shows whether and how a company made or lost money over an accounting period. This course describes the income statement and the common classifications of revenue and expenses you’ll see on it. It also explains different measures of profitability such as net income, EBIT and EBITDA.

Cash flow is fundamental to a company’s ability to stay in business. This course explains cash flow statements and how they’re used to track cash from a company’s operating, investing and financing activities.

A walkthrough of a statement of shareholders’ equity, including what events typically cause changes in the value of shareholders’ equity.

What to look for in a company’s financials and annual report to give you a quick picture of a company’s financial health and current and future financial prospects.