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A new location is a major commitment of time and money with the potential to expand a company’s business and increase profits. New locations also come with risks. Sales may be lower than expected while costs are higher. The new location may pull more resources from existing operations and strategy than anticipated. Could we have better anticipated this?

In this course, I’ll:

  • Explore some of the key financial considerations when opening a new location.
  • Describe how to project common revenue and expense items for a new location.
  • Explain how to build a net contribution and cash flow forecast.
  • Illustrate analysis methods like breakeven analysis and scenario analysis
  • Demonstrate scenario analysis and sensitivity analysis with Excel’s Goal Seek, Scenario Manager, and Data Table functions
  • Define common metrics like NPV, IRR, and Time to Breakeven. I’ll show multiple ways to analyze this in Excel. For Excel gurus, you can do this yourself. For others, this gives you an idea of what an accountant, analyst, or consultant can do for you.
  • Reveal common decision mistakes people make when analyzing new locations and how to avoid these mistakes.

This course is focused on the financial analysis of the location and how a new location fits financially into a company’s larger strategy. Some things I don’t cover or don’t cover in detail in this course:

  • Merger and Acquisition (M&A) Analysis
  • Analyzing where to locate the store or new location
  • Detailed financial accounting entries and financial statement disclosure
  • Tax considerations and treatment. I will briefly mention some relevant tax items like cost segregation studies.
Analyzing Whether to Add New Locations - Capital Budgeting (4 Hrs)
A/B
Suggested Courses

A new location is a major commitment of time and money with the potential to expand a company’s business and increase profits. New locations also come with risks. Sales may be lower than expected while costs are higher. The new location may pull more resources from existing operations and strategy than anticipated. Could we have better anticipated this?

In this course, I’ll:

  • Explore some of the key financial considerations when opening a new location.
  • Describe how to project common revenue and expense items for a new location.
  • Explain how to build a net contribution and cash flow forecast.
  • Illustrate analysis methods like breakeven analysis and scenario analysis
  • Demonstrate scenario analysis and sensitivity analysis with Excel’s Goal Seek, Scenario Manager, and Data Table functions
  • Define common metrics like NPV, IRR, and Time to Breakeven. I’ll show multiple ways to analyze this in Excel. For Excel gurus, you can do this yourself. For others, this gives you an idea of what an accountant, analyst, or consultant can do for you.
  • Reveal common decision mistakes people make when analyzing new locations and how to avoid these mistakes.

This course is focused on the financial analysis of the location and how a new location fits financially into a company’s larger strategy. Some things I don’t cover or don’t cover in detail in this course:

  • Merger and Acquisition (M&A) Analysis
  • Analyzing where to locate the store or new location
  • Detailed financial accounting entries and financial statement disclosure
  • Tax considerations and treatment. I will briefly mention some relevant tax items like cost segregation studies.
Analyzing Whether to Add New Locations - Capital Budgeting (4 Hrs)
Recent Searches
No recent searches found.
Similar Courses

A new location is a major commitment of time and money with the potential to expand a company’s business and increase profits. New locations also come with risks. Sales may be lower than expected while costs are higher. The new location may pull more resources from existing operations and strategy than anticipated. Could we have better anticipated this?

In this course, I’ll:

  • Explore some of the key financial considerations when opening a new location.
  • Describe how to project common revenue and expense items for a new location.
  • Explain how to build a net contribution and cash flow forecast.
  • Illustrate analysis methods like breakeven analysis and scenario analysis
  • Demonstrate scenario analysis and sensitivity analysis with Excel’s Goal Seek, Scenario Manager, and Data Table functions
  • Define common metrics like NPV, IRR, and Time to Breakeven. I’ll show multiple ways to analyze this in Excel. For Excel gurus, you can do this yourself. For others, this gives you an idea of what an accountant, analyst, or consultant can do for you.
  • Reveal common decision mistakes people make when analyzing new locations and how to avoid these mistakes.

This course is focused on the financial analysis of the location and how a new location fits financially into a company’s larger strategy. Some things I don’t cover or don’t cover in detail in this course:

  • Merger and Acquisition (M&A) Analysis
  • Analyzing where to locate the store or new location
  • Detailed financial accounting entries and financial statement disclosure
  • Tax considerations and treatment. I will briefly mention some relevant tax items like cost segregation studies.
Analyzing Whether to Add New Locations - Capital Budgeting (4 Hrs)
Suggested Courses

A new location is a major commitment of time and money with the potential to expand a company’s business and increase profits. New locations also come with risks. Sales may be lower than expected while costs are higher. The new location may pull more resources from existing operations and strategy than anticipated. Could we have better anticipated this?

In this course, I’ll:

  • Explore some of the key financial considerations when opening a new location.
  • Describe how to project common revenue and expense items for a new location.
  • Explain how to build a net contribution and cash flow forecast.
  • Illustrate analysis methods like breakeven analysis and scenario analysis
  • Demonstrate scenario analysis and sensitivity analysis with Excel’s Goal Seek, Scenario Manager, and Data Table functions
  • Define common metrics like NPV, IRR, and Time to Breakeven. I’ll show multiple ways to analyze this in Excel. For Excel gurus, you can do this yourself. For others, this gives you an idea of what an accountant, analyst, or consultant can do for you.
  • Reveal common decision mistakes people make when analyzing new locations and how to avoid these mistakes.

This course is focused on the financial analysis of the location and how a new location fits financially into a company’s larger strategy. Some things I don’t cover or don’t cover in detail in this course:

  • Merger and Acquisition (M&A) Analysis
  • Analyzing where to locate the store or new location
  • Detailed financial accounting entries and financial statement disclosure
  • Tax considerations and treatment. I will briefly mention some relevant tax items like cost segregation studies.
Analyzing Whether to Add New Locations - Capital Budgeting (4 Hrs)
Course Details

Complete Business Math for Accountants - v13 (Course Id 1755)

Updated / QAS / Registry
  Add to Cart 
Author : Jae K. Shim, Ph.D., CPA
Course Length : Pages: 134 ||| Review Questions: 117 ||| Final Exam Questions: 85
CPE Credits : 17.0
IRS Credits : 0
Price : $127.95
Passing Score : 70%
Course Type: NASBA QAS - Text - NASBA Registry
Technical Designation: Technical
Primary Subject-Field Of Study:

Finance - Finance for Course Id 1755

Description :

Complete Business Math for Accountants provides accountants, managers, and business entrepreneurs with the information, analyses, and insights necessary to analyze and calculate the consequences of a wide range of business financial strategies and problems. The ability to select the right operational technique is vital if the business is to survive, profit, and grow in today's uncertain economic environment. The owner of a small business must be able to make the right financial decision based on sound mathematical reasoning in order to run the business efficiently. They must understand the problem, and then apply math skills to solve it.

This course contains hundreds of filled-in examples, illustrations, practical applications, measures, procedures, rules of thumb, statistical data, exhibits, tables, graphs, and diagrams. They are presented to aid in the comprehension and successful solution of a particular problem. The reader will also learn when, why and how to use the appropriate computational method. 

Usage Rank : 20476
Release : 2023
Version : 1.0
Prerequisites : Basic Math and accounting.
Experience Level : Overview
Additional Contents : Complete, no additional material needed.
Additional Links :
Advance Preparation : None.
Delivery Method : QAS Self Study
Intended Participants : Anyone needing Continuing Professional Education (CPE).
Revision Date : 18-Aug-2023
NASBA Course Declaration : Participants must complete the final examination within one year of purchase and with a minimum passing grade of 70% or better to receive CPE credit unless otherwise noted on the Course History page (i.e. California Ethics must score 90% or better). After logging in click on the Course History links on your My Courses page for the Begin date and Expire date for the Final Exam.
Approved Audience :

NASBA QAS - Text - NASBA Registry - 1755

Keywords : Finance, Complete, Business, Math, Accountants, v13, cpe, cpa, online course
Learning Objectives :

Part 1
Evaluating the Cost of Bank Loans, Business Loans, Trade Credit, and Other Financing

After completing this section, you should be able to:
    1. Compute the cost of credit using different methods.
    2. Calculate due dates.
    3. Define and compute the cost of capital.

Part 2
Budgeting and Profit Planning

After completing this section, you should be able to:
    1. Recognize the major steps in budget preparation.
    2. Calculate a production budget.
    3. Identify budget accuracy ratios.
    4. Recognize importance of cash budgeting and the steps involved.

Part 3
Business Forecasting Methods

After completing this section, you should be able to:
    1. Identify different methods used for business forecasting.
    2. Recognize how regression analysis can be used, and the implication of regression statistics.
    3. Recognize the attributes of the Chi-Square test.

Part 4
Managing Cash and Receivables

After completing this section, you should be able to:
    1. Identify components of the cash flow statement and different financing activities.
    2. Recognize how to manage cash and accounts receivable properly.
    3. Calculate cash flow from operations and average collection periods.

Part 5
Controlling Inventory

After completing this section, you should be able to:
    1. Identify key concepts behind the economic order quantity (EOQ).
    2. Calculate inventory reorder point.
    3. Recognize the concepts of the ABC inventory control method.

Part 6
Buying and Selling Products and Services

After completing this section, you should be able to:
    1. Recognize sales ratios used by management.
    2. Calculate the relationships among price, costs, volume, and profit.
    3. Identify how to calculate the break-even sales.
    4. Recognize how the elasticity of demand affects total sales revenue.

Part 7
Putting Money to Work

After completing this section, you should be able to:
    1. Recognize how the risk-return tradeoff is important in decision making.
    2. Calculate payback periods for different projects.
    3. Calculate the present value and identify how to calculate the present value of an annuity.
    4. Calculate the profitability index.
    5. Recognize internal rate of return and capitalization rate.

Part 8
Scheduling, Planning, and Efficiency Measures and Charting

After completing this section, you should be able to:
    1. Recognize some commonly used operating ratios.
    2. Identify how to use charting to help communicate business operations.

Part 9
Preparing Financial Statements

After completing this section, you should be able to:
    1. Recognize the components of the balance sheet, including assets and equity.
    2. Identify attributes of the income statement.

Part 10
How Healthy Is The Business?

After completing this section, you should be able to:
    1. Recognize different ratios used in financial analysis, including liquidity, debt and profitability ratios.

Part 11
Measuring Business Performance

After completing this section, you should be able to:
    1. Identify how management can use and improve ROI.
    2. Compute residual income and identify how it is different than ROI.
    3. Recognize how marginal analysis can used for business decisions.

Part 12
Averages, Expectations, and Variability in Business Activities

After completing this section, you should be able to:
    1. Calculate average (mean), median, and mode.
    2. Compute standard deviation.
    3. Recognize the coefficient of variation and the normal distribution.

Part 13
Adequacy and Cost of Insurance Coverage

After completing this section, you should be able to:
    1. Recognize different types of insurance.
    2. Identify insurance terms such coinsurance and fair payment.
    3. Identify the basis for how much insurance is needed.

Part 14
Hiring and Compensating Employees

After completing this section, you should be able to:
    1. Recognize how to determine human resource needs.
    2. Identify attributes of a benefits packages.
    3. Recognize the cost factor of human resources and how it varies by organization types.

Part 15
Buying or Selling a Business

After completing this section, you should be able to:
    1. Recognize different methods used for determining the price of a business.
Course Contents :

Part 1:    Evaluating the Cost of Bank Loans, Business Loans, Trade Credit, and Other Financing

Learning Objectives

1. Understanding Simple Interest

2. Real (Effective) Interest Rate

3. The Cost of Credit: Annual Percentage Rate

4. Calculating Due Dates

5. Promissory Notes and Bank Discounts

6. Trade Credit

7. Receivables and Inventory Financing

8. Estimating the Cost of Debt and Equity Financing

Part 1 Review Questions

Part 2:    Budgeting and Profit Planning

Learning Objectives

9.  Establishing a Budgeting System for Profit Planning

10. What is the Cost Structure?

11. Using Budgeting to Control Cash

12. Forecasting Cash Collections

13. “What-If” Analysis

14. Budget Accuracy Ratios

Part 2 Review Questions

Part 3:  Business Forecasting Methods

Learning Objectives

15. Projecting Financing Needs

16. Naive Forecasting Models

17. Moving Averages

18. Exponential Smoothing

19. Regression Analysis

20. Regression Statistics

21. Simple Regression

22. Trend Equation

23. Decomposition of Time Series

24. Measuring Accuracy of Forecasts

25. Cost of Prediction Errors

26. c˛ (Chi-Square) Test

Part 3 Review Questions

Part 4:    Managing Cash and Receivables

Learning Objectives

27. Cash Flow Statement

28. Using Float

29. Using a Lockbox to Get Money Sooner

30. Bank Reconciliation

31. Putting Excess Cash to Work

32. What Is the Equivalent Tax Yield?

33. Determining the Optimal Cash

34. Cash Ratios

35. Cash Flow from Operations

36. Cash Forecasting

37. Accounts Receivable Ratios

38. Managing Accounts Receivable

Part 4 Review Questions

Part 5:   Controlling Inventory

Learning Objectives

39. Inventory Ratios

40. How Much to Order (Economic Order Quantity) and When to Order (Reorder Point)

41. Calculating Quantity Discounts (EOQ with Quantity Discounts)

42. Determining Production Run Size

43. Allowing for Safety Stock

44. Calculating Inventory Dollar Burden

45. Using the ABC System for Inventory Control

Part 5 Review Questions

Part 6:    Buying and Selling Products and Services

Learning Objectives

46. Sales Ratios

47. How Good Is The Merchandise?

48. Factoring in Trade Discounts

49. Calculating Cash Discounts

50. Single Equivalent Discount and Chain Discount

51. Markup Calculations

52. Cost as a Basis

53. Commission Computation

54. Cost-Volume-Profit Analysis

55. Contribution Margin Analysis

56. How Does Product Demand React to a Price Change?

Part 6 Review Questions

Part 7:    Putting Money to Work

Learning Objectives

57. Figuring the Risk-Return Trade-off

58. Opportunity Cost

59. How Many Years Does It Take to Get Your Money Back  (Payback Period)?

60. How Do You Calculate Future Values? How Money Grows?

61. Determining Annual Deposits (Sinking Funds)

62. Determining the Number of Periods Required

63. Rules of 69 and 72

64. Computing Interest Rate

65. How to Calculate After-Tax Cash Flows

66. What Is Present Value? How Much Is Money Worth Now?

67. Calculating Loan Payments

68. Ranking Proposals and Projects

69. Determining Internal Rate of Return (Time-Adjusted Rate of Return)

70. Capitalization Rate

71. Gross Income Multiplier

72. Net Income Multiplier

Part 7 Review Questions

Part 8:    Scheduling, Planning, and Efficiency Measures and Charting

Learning Objectives

73. How Are Your Assets Operating?

74. Repairs and Maintenance Ratios

75. Maintenance and Repair Index

76. Utilization of Space

77. Efficiency Measurements

78. Direct Costs-to-Sales Ratios

79. Charts and Graphs

Part 8 Review Questions

Part 9:    Preparing Financial Statements

Learning Objectives

80. Balance Sheet Basics

81. Income Statement (Profit and Loss Statement)

82. Ratios, Proportions, and Percentages

Part 9 Review Questions

Part 10:    How Healthy Is The Business?

Learning Objectives

83. Comparing Accounts over the Years (Horizontal Analysis)

84. Comparing Accounts within the Current Year

85. How to Use Index Numbers

86. Growth Rate

87. Current Ratio

88. Quick (Acid Test) Ratio

89. Operating Cycle

90. Are Your Defensive Assets Sufficient?

91. Working Capital

92. Liquidity Index

93. Assessing Asset Utilization (Turnover)

94. Fixed-Asset Ratios

95. Noncurrent Assets to Noncurrent Liabilities

96. Accounts Payable Ratios

97. Current Liability Ratios

98. How Much Debt Do You Have, and Can You Pay It?

99. What Obligations are Pressing?

100. Ratios of Off-Balance-Sheet Assets and Liabilities

101. Earning Growth

102. Profit Margin

103. Sales to Current Assets

104. Sales to Current Debt

105. Analysis of Expenses

106. Can You Cover Interest Payments?

107. Operating Leverage

108. Fixed-Charge Coverage

109. Is Your Funds Flow Adequate?

110. Discretionary Cost Ratios

111.  “Z-Score” Model: Forecasting Business Failure

Part 10 Review Questions

Part 11:    Measuring Business Performance

Learning Objectives

112. Choosing Profitability Goals

113. Simple (Accounting) Rate of Return

114. Return on Total Assets

115. Residual Income

116. Flexible-Budget Variance

117. Variance between Actual Sales and Budgeted Sales

118. Variance between Actual Costs and Budgeted Costs

119. Price Variance

120. Quantity Variance

121. Salesperson Variances

122. Warehouse Cost Variance

123. Marginal Cost and Marginal Revenue

Part 11 Review Questions

Part 12:    Averages, Expectations, and Variability in Business Activities

Learning Objectives

124. Averages (Means): Simple and Weighted

125. Median and Mode

126. Expected Value and Standard Deviation

127. Coefficient of Variation

128. Normal Distribution

Part 12 Review Questions

Part 13:    Adequacy and Cost of Insurance Coverage

Learning Objectives

129. Determining How Much Insurance Is Needed

130. Factoring in Coinsurance and Copayment

131. Evaluating Insurance Risk

132. Estimating the Value of a Claim

Part 13 Review Questions

Part 14:   Hiring and Compensating Employees

Learning Objectives

133. Permutations and Combinations

134. Sizing up Human Resource Needs

135. Calculating the Cost of a Fringe Benefits Program

136. Determining Profit-Sharing Bonus

137. Employee Efficiency

Part 14 Review Questions

Part 15:    Buying or Selling a Business

Learning Objectives

138. Determining How Much Your Business Is Worth

139. Valuing a Franchise

Part 15 Review Questions

Appendix

Glossary

CPE Finance Course: https://www.cpethink.com/cpe-for-cpas
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