Latest Module Specifications
Current Academic Year 2025 - 2026
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Description This module provides an intensive introduction to analysis of reported financial statements and the use of accounting information. Financial statement analysis examines publicly available financial statements produced by entities and the use of accounting information from a financial manager perspective. The students will be equipped to understand certain key dimensions of a few International Financial Reporting Standards (IFRS) and comparison of financial information and disclosure within and across industries with the help of key financial analysis tools. 1.50 credits of this module are dedicated to ethics and its relevance for the financial sector. The ethical reflection is articulated at the individual level, managerial level, and at the level of interaction between finance and society. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Learning Outcomes 1. Demonstrate an understanding of publicly available financial statements produced by entities. 2. Demonstrate an understanding of the key accounting regulations/frameworks/standards that an entity must comply with in producing publicly available financial statements 3. Analyse the financial health of a company from the perspective of investors, lenders and other users, using horizontal analysis, trend analysis, ratio analysis and corporate failure prediction models. 4. Describe what is ethics and its theoretical and practical relevance for financial activity. 5. Demonstrate their ability to critically apply the knowledge on ethics and translate it into skills and attitudes. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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All module information is indicative and subject to change. For further information,students are advised to refer to the University's Marks and Standards and Programme Specific Regulations at: http://www.dcu.ie/registry/examinations/index.shtml |
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Indicative Content and Learning Activities
Introduction to Financial Statements and Analysis Framework Accounting process, standard layout, contents and purpose of financial statements, FSA framework, Principles of Revenue Recognition and Expense Recognition, Inventory valuation methods, Property, Plant, and Equipment, Intangible Assets, current and non-current classification of assets and liabilities Financial Reporting Quality Quality spectrum of financial reports, evaluating earnings quality, cash flow quality, balance sheet quality, conservative and aggressive accounting, mechanisms that discipline financial reporting quality, Detection of financial reporting quality issues, developments in bankruptcy prediction models. Analysis of Pensions, Stock Compensation and Other Employee Benefits Types of post-employment benefit plans, financial statement reporting of pension plans and other post-employment benefits, share-based compensation Analysis of Inter-Corporate Investments and Business Combinations Corporate Investment Categories, Classification of investments in financial assets, Business combination methods Analysis of Global Operations Foreign Currency Transactions, Exposure to Foreign Exchange Risk, Disclosures Related to Foreign Currency Transaction Gains and Losses, Translation of Foreign Currency Financial Statements Ratio and Financial Analysis Calculation of Profitability Ratios, Activity Ratios, Liquidity Ratios, Solvency Ratios and Market Value Ratios, Application of Ratio Analysis, DuPont Analysis, Common size analysis, EVA and MVA Ethics for Finance Meaning of ethics; existence of different ethical theories; ethics and culture. Individual ethics in finance; managerial ethics in finance; relationship between finance and society; professional ethics; case studies on the areas under “ethics for finance students.” | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Indicative Reading List Books:
Articles:
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Other Resources
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