Tiêu đề Financial statement analysis.pdf ✅

Last Revised: 08/18/2023 1 2024 Level 2 - Financial Statement Analysis This document should be used in conjunction with the corresponding learning modules in the 2024 Level 2 CFA® Program curriculum. Some of the graphs, charts, tables, examples, and figures are copyright 2023, CFA Institute. Reproduced and republished with permission from CFA Institute. All rights reserved. Required disclaimer: CFA Institute does not endorse, promote, or warrant accuracy or quality of the products or services offered by MarkMeldrum.com. CFA Institute, CFA®, and Chartered Financial Analyst® are trademarks owned by CFA Institute. © 2533695 Ontario Limited d/b/a MarkMeldrum.com. All rights reserved. Learning Modules Page Intercorporate Investments 2 Employee Compensation: Post-Employment and Share-Based 22 Multinational Operations 40 Analysis of Financial Institutions 62 Evaluation Quality of Financial Reports 71 Integration of Financial Statement Analysis Techniques 84 Financial Statement Modeling 90 Review 110 M.M134813896.
Last Revised: 08/18/2023 2 Intercorporate Investments a. describe the classification, measurement, and disclosure under International Financial Reporting Standards (IFRS) for 1) investments in financial assets, 2) investments in associates, 3) joint ventures, 4) business combinations, and 5) special purpose and variable interest entities b. compare and contrast IFRS and US GAAP in their classification, measurement, and disclosure of investments in financial assets, investments in associates, joint ventures, business combinations, and special purpose and variable interest entities c. analyze how different methods used to account for intercorporate investments affect financial statements and ratios M.M134813896.
Last Revised: 08/18/2023 3 Intercorporate Investments ⇒ Intercorporate Investments ➞ investments in other companies ➞ Debt or Equity ⇒ Basic Corporate Investment Categories/ 1) Investments in Financial Assets - no significant influence or control, typically < 20% equity - classified as FV ➞ P/L, FV ➞ OCI, amortized cost (prior to IFRS 9 ➞ held to maturity, available for sale, FV ➞ P/L, 2) Investments in Associates - significant influence but no control, typically 20% - 50% equity 3) Joint Ventures - control is shared by 2 or more entities ⇒ Basic Corporate Investment Categories/ 4) Business Combinations (including investments in subsidiaries) - control, typically > 50% equity interest ⇒ Investments in Financial Assets/ - categories 1/ amortized cost – the financial assets are being held to collect contractual cash flows - cash flows are solely principal + interest if the asset can be sold, can elect 2 or 3 below 2/ FV through profit or loss (FVPL) 3/ FV through OCI (FVOCI) - all are measured at FV when initially acquired - all interest & dividends are recognized as income in P/L diversify their asset base enter new markets obtain competitive advantage achieve additional profitability (only debt) all equity, some debt Page 1 interest interest loans & receivables) Page 2 M.M134813896.
Last Revised: 08/18/2023 4 - also Derivatives that are NOT hedging instruments ⇒ Summary/ evaluate company performance separately for operating and investing activities - analysis of operations should exclude: interest income dividend income gains/losses on investments - exclude non-operating assets in net operating assets all income goes to P/L Reclassifications: Equity ➞ No Debt ➞ if point 1 or 2 change (no prior period restatement required) - on reclassification: - measured at FV - unrealized g/L ➞ P/L - FV = new carrying value choice is irrevocable Page 3 Page 4 M.M134813896.