Workshop on “Discussion on Financial Terminology and Financial Statement Analysis”
Jagan Institute of Management Studies organized a workshop on the topic “Discussion on Financial Terminology and Financial Statement Analysis” for its PGDM, PGDM – IB, PGDM - RM Batch 2012-2014 students on 16th September, 2013. The key speaker for the session was Mr. Vivek Bhatia, Visiting Faculty, Finance.
He started the session by quoting “financial statement analysis is the foundation for evaluating and pricing credit risk and for doing fundamental company valuation.”
He further added the term “financial statement” doesn’t make sense at first. Numbers are for counting while statements need words, so how could these two mix together? But when seen as “money statements,” then suddenly it’s a crucially important matter.
Not only is it important for you, but for the management and stockholders as well. It’s important for the management because financial statements speak of the company’s success and competence, whereas stockholders refer to financial statements to know whether or not to invest in a company. In other words, financial statements tell whether the company made or lost money. It is not wrong to state that “Financial statements hold the secrets of a company.”
He concluded the session by stating “It is equally important for business owners to understand financial statements to know if their business is earning. Whether you’re a manager, stockholder, or entrepreneur, learning the language of finance is truly important and beneficial as it helps you to understand your company’s financial health and behavior.
Overall the session was highly informative.
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