Techniques of Financial
Analysis with Financial Genome Passcode Card
By HELFERT
The unique, central concept of Techniques of Financial Analysis is the ?business system,?
an effective and intuitive way of visualizing the key areas of the typical business
organization, and the related investment, operating, and financing decisions that drive
its performance and value. This cash flow model (see Chapter 1) serves as the basic
structure to which all analytical concepts and tools are related, so that the student is
always aware of the larger operational and strategic context in which these techniques
should be applied to properly understand the process of successful value creation in a
business. Such contextual insight is critical in a specialized subject like financial
analysis, which is generally taught in a dry, accounting-oriented fashion.
The presentation has always been kept up to date and is carefully designed to help the
reader visualize the linkage between management decisions and financial performance and
value. Very importantly, the book demonstrates the modern requirement to distinguish
between cash flow (economic) and accounting-based analysis. It helps the reader to
interpret financial reports, develop integrated financial projections, understand basic
financial modeling, evaluate business investment decisions, develop the implications of
financing choices, derive the value of a business or a security, and understand the
support role of economic analysis in achieving shareholder value creation. Every technique
and measure is described and demonstrated in the context of the underlying key financial
and economic concepts, but without delving into theoretical abstraction.
CONTENTS
1. A Systems Context for Financial Management
2. Managing Operating Funds
3. Assessment of Business Performance
4. Projection of Financial Requirements
5. Dynamics and Growth of the Business System
6. Cash Flows and the Time Value of Money
7. Analysis of Investment Decisions
8. Cost of Capital and Business Decisions
9. Analysis of Financial Choices
10. Valuation and Business Performance
11. Managing for Shareholder Value
Appendix I: Financial Analysis with Financial Genome
Appendix II: Glossary of Key Terms and Concepts
Appendix III: Financial Information and Online Sources
Appendix: IV: Basic Inflation Concepts
Appendix V: Some International Issues in Financial Analysis
240 pages
