Financial Analysis & Tax Accounting: Apply & Evaluate

This course is part of Financial Accounting: Master Core Concepts & Analysis Specialization

Instructor: EDUCBA

What you'll learn

Apply horizontal, vertical, and ratio analysis to evaluate financial performance.
Analyze deferred tax assets/liabilities and interpret tax reporting standards.
Assess efficiency, profitability, and shareholder returns through ratios.

Skills you'll gain

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Assessments

12 assignments

Taught in English

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This course is part of the Financial Accounting: Master Core Concepts & Analysis Specialization

When you enroll in this course, you'll also be enrolled in this Specialization.

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There are 3 modules in this course

Develop the skills to analyze financial statements and use financial ratios to support informed business decisions. In Apply and Analyze Financial Ratios for Business Decisions, you will learn how to evaluate business performance through horizontal and vertical analysis before progressing to ratio analysis techniques that measure financial health, operational efficiency, and shareholder returns.

The course begins with the foundations of financial analysis, helping you identify trends and proportional relationships in financial statements and understand the purpose of key ratio categories. You will then apply activity ratios to evaluate asset utilization, receivables, inventory efficiency, and working capital turnover. Building on these concepts, you will analyze liquidity, solvency, and profitability ratios through comprehensive case studies and assess shareholder value using return on equity (ROE) and dividend payout ratios. Designed for students, aspiring financial analysts, and business professionals, this course emphasizes practical application by connecting financial analysis concepts with real-world business scenarios. Its progressive structure guides you from comparative financial statement analysis to integrated ratio interpretation and shareholder-focused evaluation, enabling you to interpret financial performance with confidence and make well-informed business decisions.

This module introduces the fundamental tools of financial analysis, focusing on horizontal and vertical methods as well as ratio techniques. Learners will explore how to interpret income statements and balance sheets, evaluate efficiency through activity ratios, and analyze key financial metrics. By the end of this module, participants will be able to apply comparative approaches and ratio-driven insights to assess a company’s performance and operational effectiveness.

What's included

9 videos4 assignments

9 videosTotal 53 minutes

Horizontal and Vertical Analysis7 minutes
Income Statement Horizontal and Vertical Analysis Example8 minutes
Balance Sheet Vertical Analysis Example7 minutes
Introduction to Ratio Analysis2 minutes
Activity Ratios6 minutes
Activity Ratios Receivables Turnover5 minutes
Activity Ratios Inventory and Payables Turnover7 minutes
Activity Ratios Cash Conversion Cycle Discussion5 minutes
Activity Ratios Working Capital and Fixed Asset Turnover6 minutes

4 assignmentsTotal 60 minutes

Graded - Foundations of Financial Analysis30 minutes
Comparative and Vertical Analysis10 minutes
Understanding Ratios10 minutes
Deep Dive into Activity Ratios10 minutes

This module advances financial analysis by applying ratio techniques to real-world business cases and shareholder-focused metrics. Learners will explore liquidity, solvency, and profitability measures, work through comprehensive case studies of activity ratios, and evaluate shareholder value using ROE and dividend payout analysis. By completing this module, participants will gain practical expertise in interpreting ratios for decision-making and financial performance assessment.

What's included

11 videos4 assignments

11 videosTotal 83 minutes

Liquidity Ratios9 minutes
Solvency Ratios6 minutes
Profitability Ratios9 minutes
Comprehensive Example Activity Ratio Cash Conversion Part 110 minutes
Comprehensive Example Activity Ratio Cash Conversion Part 25 minutes
Comprehensive Example - Liquidity Ratios6 minutes
Comprehensive Example Solvency Ratios9 minutes
Comprehensive Example Profitability Ratios8 minutes
ROE9 minutes
ROE Example9 minutes
Dividends Payout Ratio4 minutes

4 assignmentsTotal 60 minutes

Graded - Applying Ratios for Insights30 minutes
Core Ratio Categories10 minutes
Comprehensive Case Studies10 minutes
Shareholder Value Metrics10 minutes

This module provides a comprehensive exploration of income tax accounting, covering the fundamentals, recognition of deferred tax assets and liabilities, and advanced insights into temporary and permanent differences. Learners will develop the ability to analyze the income statement for tax implications, interpret timing differences between accounting and tax treatments, and evaluate the effect of valuation allowances and tax rate changes on deferred taxes. By completing this module, participants will gain practical skills to apply income tax accounting concepts in real-world financial reporting and decision-making.

What's included

10 videos4 assignments

10 videosTotal 63 minutes

Introduction to Income Taxes part 111 minutes
Introduction to Income Taxes part 26 minutes
Sources of Deferred Taxes1 minute
Deferred Tax Liabilities Example Part 110 minutes
Deferred Tax Liabilities Example Part 26 minutes
Deferred Tax Assets Example7 minutes
Temporary and Permanent Difference6 minutes
Valuation Allowance Deferred Tax Assets6 minutes
Tax Base Deferred Taxes4 minutes
Effect of Changes in Tax Rates on Deferred Taxes5 minutes

4 assignmentsTotal 60 minutes

Graded- Mastering Income Tax Accounting30 minutes
Fundamentals of Income Taxes10 minutes
Deferred Tax Liabilities and Assets10 minutes
Advanced Deferred Tax Insights10 minutes

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Instructor

EDUCBA

1,708 Courses365,036 learners

Offered by

EDUCBA

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Reviewed on Mar 19, 2026

A well-structured program for finance professionals. It enhanced my ability to interpret financial reports and evaluate tax impacts with confidence and accuracy.

Reviewed on Mar 30, 2026

It strengthened my ability to interpret financial reports while also understanding the impact of taxation on business decisions.