This course looks at how to use free cash flow concepts to analyse and evaluate corporate performance in order to make better capital budgeting and acquisition decisions.
You’ll get an introduction to free cash flow and its components and learn about the cost of capital. You’ll also look at how free cash flow can be used in acquisitions, and explore some common implementation issues.
What topics will you cover?
Week 1 - Free Cash Flow
Free cash flow components and the objective of the firm
Week 2 - Capital and Modified Free Cash Flow
The cost of capital, capital budgeting using free cash flow, and modified free cash flow
Week 3 - Evaluating & Integrating Acquisitions
Using free cash flow to evaluate acquisition opportunities, and the integration of acquisitions and its issues
What will you achieve?
By the end of the course, you'll be able to...
- Investigate how to develop a Free Cash Flow approach to Incentive Compensation
- Compare the relationship between Free Cash Flow and Economic Value Added Value Acquisitions using Free Cash Flow
- Identify the steps to use Free Cash Flow for Capital Budgeting Decisions
- Describe the steps to calculate Cost of Capital
- Explain the Drivers of Free Cash Flow
- Compare Free Cash Flow to Net Income
- Identify Free Cash Flow from Accounting Data
Who is the course for?
This course is ideal for financial analysts and associates. It is also suitable for directors and managers who have transitioned or hope to transition, to mergers and acquisitions from other areas, such as equities or fixed income.
To get the most from this course you will need a good knowledge of financial analysis and MS Excel.
This school offers programs in:
Last updated February 16, 2018