Finance for non financial/ finance manager

University of Michagan Executive Education Course material and notes.  Course fee is >S$11,500.  Excellent course if you need finance knowledge to climb the corporate ladder.

Executive Summary

This Ross School of Business executive education program covers the basics of finance and accounting from both a functional and general management perspective. The Finance for the Nonfinancial Manager program develops your financial analysis capabilities to improve communication with people in financial areas, contribute to financial decisions, and better understand financial statements and the impact of strategic decisions on shareholder value. The focus on both accounting and finance helps you develop a well-rounded understanding of the language and requirements of financial expectations and performance, and shows how to evaluate a project's financial attractiveness from the shareholders' perspective, and how to better understand and predict the impact of business decisions.

Highlights

Learn how to use finance language to better communicate with finance professionals in your organization

Financial Statement Analysis

• Income statement, balance sheet, and cash flow statement
• Market value versus book value
• Accounting income versus economic income

Evaluating Operating Performance

• Ratio analysis: profitability, efficiency, liquidity, and leverage ratios

Valuation Tools

• Time value of money
• Valuing cash flow streams
• Using a financial calculator and spreadsheets

Resource Allocation: Decision Criteria

• Net present value
• Internal rate of return
• Economic value added

Resource Allocation: Estimating Cash Flows

• Incremental cash flow concepts
• Treatment of opportunity costs and sunk costs
• Treatment of inflation
• Cash flow drivers

Sources and Cost of Capital

• Risk--the concept of beta
• Costs of debt and equity capital
• The weighted average cost of capital

Comprehensive Cases

• Resource allocation decisions
• Performance evaluation