Financial statements are crucial to managing the economic stability and financial well-being of organization. Most individuals understand the basic concepts of the balance sheet, income statement and cash flow statement. Yet, many have difficulty interpreting the information. Often, this is simply due to a lack of understanding of the relationship and purposes of each statement.
This course is for the non-financial professional who wishes to have a greater understanding of the purpose and use of the financial statements. It can also be a tool for the professional just entering the financial profession and who is looking to gain a deeper insight into the aspects of preparing a company’s financial statements.
There are variances in the format, structuring and reporting of for-profit financial statements vs. not-for-profit (NFP) statements. December 31, 2018 saw significant changes to NFP financial reporting. ASU No. 2016-14, Presentation of Financial Statements of NFP Entities became effective. Essential for NFP to understand the various aspects of the ASU. A separate course is listed by this instructor on the Illumeo platform that details the specific changes outlined in ASU 2016-14. This course is meant to provide an overview of the basic concepts required in entity financial statements. Since varying concepts exist between a for-profit organization and a NFP organization, we will utilize this platform to compare and contrast the major financial statements including:
Balance Sheet (For Profit)/Statement of Activities (NFP)
Income Statement (For Profit)/Statement of Operations (NFP)
Cash Flow Statement
•Explore the variance between the for-profit balance sheet and the not-for profit statement of activities
•Identify what ”balancing" the balance sheet means.
•Recognize and apply the relationship of the balance sheet and statement of activities to the income statement and statement of operations.
•Explore what comprises revenue in for-profit vs. NFP.
•Examine the variances between the income statement in a for-profit and the statement of operations in a NFP.
•Explore why the cash flow statement is King.
•Explore elements of the Cash Flow statement in both a for-profit and NFP.
Delivery Method: Self Study
Consultant, CPA, CGMA, CRMA, MBA, Past Chief Audit Executive
Business Consultant, Trainer, Author
Ms. Fountain has over 40 years of experience spanning public accounting, industry accounting and consulting. Sixteen years of that experience has been in the field of internal audit, risk managment and process improvement. She is well adept to assist your organization evaluate business strategy, perform risk assessments, establish a Sarbanes-Oxley process, synergizing internal audit processes or perform process improvement projects.
As a past corporate executive Lynn has a passion for working with professionals to enhance their processes and provide leading edge education. She has authored and delivered hundreds of training courses for accounting, finance and audit professionals. Her training is filled with not just theory but real world application.
Ms. Fountain has authored three technical publications:
-Leading the Internal Audit Function
-Raise the Red Flag
-Ethics and the Internal Auditor's political dilemma
Lynn is a recognized leader in the internal audit profession as well as a recognized business professional.
Ms. Fountain obtained her BSBA from Pittsburg State University and her MBA from Washburn University in Kansas. She has active, current CPA, CGMA, and CRMA credentials.