A financial analysis method that looks at each line item as a percentage of a base figure within the statement.
Open the thread to start learning the vertical analysis method.
Use ratios to compare financial statements of different sizes - like stating each line as a percentage of sales for P&L or as a percentage of total assets for the balance sheet.
Oct 15 • 26 tweets • 2 min read
Are you looking to explain accounting to kids in a fun and easy-to-understand way?
Here is the easiest way!
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What is accounting?
When a company makes money, it has to keep track of where that money came from and where it goes.
This is called Accounting.
Jun 17 • 9 tweets • 2 min read
How to deal with inflation?
We are starting 2024 soon
And chances are, that on 1st January, your suppliers will increase prices!
What are the solutions to face this problem?
Here are my propositions based on an exercise I did for a previous company last year: 1. Raise Prices
Common way that companies do to help against inflation is by simply raising their prices.
Make sure to include a clause on variation of price based on indexes. This will cover the risk of inflation for the future.
Jun 15 • 25 tweets • 3 min read
50 Finance Concepts Explained to Kids (Part 1) 1. Business
Let’s imagine you are selling lemonade.
Example: Your lemon stand is your business because you sell lemonade there.
Jun 15 • 25 tweets • 3 min read
50 Finance Concepts Explained to Kids (Part 1) 1. Business
Let’s imagine you are selling lemonade.
Example: Your lemon stand is your business because you sell lemonade there.
May 20 • 6 tweets • 1 min read
Analyze your balance sheet analysis with these 5 key ratios! 1/5
Quick Ratio
🎯Goal: Check the solvency of a company and how fast can they repay their short term debts with their quick assets.
💡Formula: Quick Assets / Current Liabilities
(where Quick Assets = Current Assets - Inventory)
Mar 15 • 21 tweets • 9 min read
Top 20 Accounting Videos on YouTube
1. LEARN ACCOUNTING in Under 5 Hours!
Author: James Hearle
2. Accounting Basics Explained Through a Story
Author: Leila Gharani
Mar 12 • 16 tweets • 4 min read
CASH
They don't teach you how to manage Cash at school
But in Finance & Accounting, Cash should be your number one focus...
Learn all about it in this comprehensive thread
Cash Flows are divided into 3 types of activities:
You're falling behind if you're not using Excel to land a job.
To help you get your ideal job in 2024, here are the top 20 Excel YouTube videos. 1. Excel for Accounting - 10 Excel Functions You NEED to KNOW!
By Leila Gharani
Feb 28 • 26 tweets • 3 min read
50 Finance Concepts Explained to Kids (Part 2) 26. Insurance
This is something you buy to protect against losing money or things.
Example: If you have insurance and someone breaks your lemon stand, insurance can help pay for a new one.
Feb 27 • 11 tweets • 3 min read
Dreaming of steering the financial ship?
Dive into the CFO realm with the top 10 tweets collection I have compiled for you!
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