COURSE INFORMATION Course Title: FINANCIAL STATEMENT ANALYSIS

Code	Course Type	Regular Semester	Theory	Practice	Lab	Credits	ECTS
FINT 407	B	1	3	0	0	3	7.5

Academic staff member responsible for the design of the course syllabus (name, surname, academic title/scientific degree, email address and signature)	Dr. Albina Hysaj ahysaj@epoka.edu.al
Main Course Lecturer (name, surname, academic title/scientific degree, email address and signature) and Office Hours:	Dr. Albina Hysaj ahysaj@epoka.edu.al , Tuesday 14:00-16:00
Second Course Lecturer(s) (name, surname, academic title/scientific degree, email address and signature) and Office Hours:	M.Sc. Kriselda Gura ksulcaj@epoka.edu.al
Language:	English
Compulsory/Elective:	Compulsory
Study program: (the study for which this course is offered)	Master of Science in FinTech
Classroom and Meeting Time:	E313 - Wednesday 18:00 - 20:45 PM
Teaching Assistant(s) and Office Hours:	NA
Code of Ethics:	Code of Ethics of EPOKA University Regulation of EPOKA University "On Student Discipline"
Attendance Requirement:	60 %
Course Description:	-
Course Objectives:	Financial Analysis course provides comprehensive information on financial analysis in areas of planning and control. This course qualitatively and quantitatively defines, reviews, and illustrates the principles of corporate finance, including: profit/loss, asset and cash management, operational budgets, cost analysis, profitability, leverage, and decision and risk. It presents various industry approaches, cases, means and methods used to meet long-term and short-term corporate goals. This course aims to give students the necessary tools for solving complicated and concrete financial problems. These skills include choosing between alternative investments, selecting the optimal portfolio, measuring risk, price forecasting and option valuation.

BASIC CONCEPTS OF THE COURSE

1	Financial Statement Analysis
2	Accruals and Valuation Adjustments
3	Expenses and Revenue Recognition
4	Financial Analysis Techniques
5	Profitability Analysis
6	Risk Management
7	Forecasting Financial Statements

COURSE OUTLINE

Week	Topics
1	Review of Syllabus: Introduction to the Course (This is an introductory lecture presenting students with the general rules, valuation methods, specific requirements, textbook, and other learning materials, and the main chapters to be taught in this course).
2	Chapter 1. Financial Statement Analysis: An Introduction (This chapter is focused on: 1. Introduction 1, 2. Scope of Financial Statement Analysis 2, 3. Major Financial Statements and Other Information Sources 7, 4. Financial Statement Analysis Framework 28).
3	Chapter 2. Financial Reporting Mechanics (This chapter is focused on: 1. Introduction 38, 2. The Classification of Business Activities 38, 3. Accounts and Financial Statements 39, 4. The Accounting Process 47, 5. Accruals and Valuation Adjustments 65, 6. Accounting Systems 67, 7. Using Financial Statements in Security Analysis 69).
4	Chapter 3. Understanding Income Statements (This chapter is focused on: 1. Introduction 134, 2. Components and Format of the Income Statement 135, 3. Revenue Recognition 139, 4. Expense Recognition 152, 5. Non-Recurring Items and Non-Operating Items 162, 6. Earnings per Share 169, 7. Analysis of the Income Statement 178, 8. Comprehensive Income 183).
5	Chapter 4. Understanding Balance Sheet (This chapter is focused on: 1. Introduction 193, 2. Components and Format of the Balance Sheet 194, 3. Current Assets and Current Liabilities 199, 4. Non-Current Assets 209, 5. Non-Current Liabilities 220, 6. Equity 223, 7. Analysis of the Balance Sheet 227).
6	Chapter 5. Understanding cash flow statement (This chapter is focused on: 1. Introduction 243, 2. Components and Format of the Cash Flow Statement 244, 3. The Cash Flow Statement: Linkages and Preparation 258, 4. Cash Flow Statement Analysis 273).
7	Review for Midterm
8	Midterm
9	Chapter 6. Financial Analysis Techniques (This chapter is focused on: 1. Introduction 291, 2. The Financial Analysis Process 292, 3. Analytical Tools and Techniques 296, 4. Common Ratios Used in Financial Analysis 313, 5. Equity Analysis 341, 6. Credit Analysis 347, 7. Business and Geographic Segments 350, 8. Model Building and Forecasting 353).
10	Chapter 7. Profitability Analysis (This chapter is focused on: 1 Overview of Profitability Analysis Based on Various Measures of Income 190, 2 Return on Assets (ROA) 201, 3 Return on Common Shareholders’ Equity (ROCE) 207, 4. Economic and Strategic Determinants of ROA and ROCE 215, 5 Benefits and Limitations of Using Financial Statement Ratios 240).
11	Chapter 8. Risk Analysis (This chapter is focused on; 5.1 Disclosures Regarding Risk and Risk Management 278, 5.2 Analyzing Financial Flexibility by Disaggregating ROCE 283, 5.3 Analyzing Short-Term Liquidity Risk 293, 5.4 Analyzing Long-Term Solvency Risk 301, 5.5 Analyzing Credit Risk 305, 5.6 Analyzing Bankruptcy Risk 309, 5.7 Measuring Systematic Risk 318).
12	Chapter 9. Forecasting Financial Statements (This chapter is focused on: 1 Introduction to Forecasting 636, 2. Preparing Financial Statement Forecasts 637, 3. Step 1: Project Revenues 642, Step 2: Project Operating Expenses 654, Step 3: Project Operating Assets and Liabilities on the Balance Sheet 662, Step 4: Project Financial Leverage, Financial Assets, Common Equity Capital, and Financial Income and Expense Items 677, Step 5: Project Provisions for Taxes, Net Income, Dividends, Share Repurchases, and Retained Earnings 683, Step 6: Balance the Balance Sheet 687, Step 7: Project the Statement of Cash Flows 689, 4. Shortcut Approaches to Forecasting 695, 5. Test Forecast Validity by Analyzing Projected Financial Statements 698, 6. Sensitivity Analysis 699, 7. Reactions to Announcements 699).
13	Financial Statement Analysis: Application – Assignments Presentation
14	Final Exam Review

Prerequisite(s):
Textbook(s):
Additional Literature:
Laboratory Work:
Computer Usage:
Others:	No

COURSE LEARNING OUTCOMES

1	Learning a wide variety of real financial problems
2	Analyzing financial problems
3	Making sound financial decisions
4	Working knowledge of Microsoft Excel

COURSE CONTRIBUTION TO... PROGRAM COMPETENCIES (Blank : no contribution, 1: least contribution ... 5: highest contribution)

No	Program Competencies	Cont.
Master of Science in FinTech Program
1	Graduates will master the fundamentals of fintech, including technological innovations, digital financial services, and disruptive business models, and apply this knowledge to create fintech solutions.	2
2	Graduates will be proficient in blockchain technologies and cryptocurrency, understanding their applications in finance, such as digital currencies, smart contracts, and decentralized finance (DeFi) systems.	4
3	Graduates will gain expertise in digital banking and innovation, including the ability to design and manage digital banking solutions, improving customer experience and operational efficiency.	2
4	Graduates will demonstrate a deep understanding of corporate finance principles, enabling them to analyze complex financial scenarios and make informed strategic decisions.	2
5	Graduates will have the skills to thoroughly analyze financial statements and assess the financial health and performance of organizations, aiding in investment and decision-making processes.	4
6	Graduates will acquire advanced skills in big data analytics, enabling them to extract valuable insights from large datasets to drive data-driven financial strategies and decisions.	5
7	Graduates will apply machine learning and artificial intelligence techniques to analyze financial data, automate decision-making processes, and enhance risk management in the financial sector.	2
8	Graduates will gain knowledge in cybersecurity resilience, enabling them to understand cyber threats in financial systems and data and effectively cooperate in mitigating fraud risks in fintech operations.	4
9	Graduates will develop a strong ethical foundation and be equipped to navigate corporate social responsibility and sustainability challenges in the fintech industry, promoting responsible and sustainable financial practices.	3
10	Graduates will be capable of applying interdisciplinary knowledge to address complex challenges at the intersection of finance and technology, fostering innovation and adaptability in a rapidly evolving fintech landscape.	4

COURSE EVALUATION METHOD

Method	Quantity	Percentage
Midterm Exam(s)	1	30
Case Study	1	20
Final Exam	1	40
Attendance		10
	Total Percent:	100%

ECTS (ALLOCATED BASED ON STUDENT WORKLOAD)

Activities	Quantity	Duration(Hours)	Total Workload(Hours)
Course Duration (Including the exam week: 16x Total course hours)	16	4	64
Hours for off-the-classroom study (Pre-study, practice)	16	4	64
Mid-terms	1	20	20
Assignments	1	17.5	17.5
Final examination	1	22	22
Other			0
Total Work Load:			187.5
Total Work Load/25(h):			7.5
ECTS Credit of the Course:			7.5

CONCLUDING REMARKS BY THE COURSE LECTURER

no