In the previous two courses, you have learned how to value startups using the discounted cash flow method and multiple methods. However, you have not learned how to estimate cash flows or earnings of startups. In this course, you are going to learn the concepts and usage of financial ratios. Using financial ratios such as profitability, liquidity, leverage, efficiency, and growth, you can tell financial health of a startup. Profitability ratios measure how profitable a firm is by looking at ROS, ROA, and ROE. Liquidity ratios measure how quickly a firm turns assets into cash to pay-off short-term liability and they include Current Ratio, Quick Ratio, and Cash Ratio. Leverage ratios measure how much long-term debt a firm has relative to its assets or equity. Efficiency ratios measure how efficiently a firm utilizes its assets. It is like a physical exam for humans and you can tell the fiscal status of a startup using financial ratios. You can also develop pro forma financial statement using financial ratios. Using pro forma financial statement, you can tell future financial status of a startup as well as cash flows. In addition, using information from pro forma statement and valuation methods, you can do the valuation of a startup.
Status: Financial Analysis
Financial Analysis
Status: Case Studies
Case Studies
Beginner·Course·10 hours
Featured reviews
4.0
·Reviewed Jun 6, 2022
it would be good to learners if yonsei recommends lectures an treated subjects to complement videos.
4.0
·Reviewed Aug 25, 2024
Used it for a project I was working with in a startup
5.0
·Reviewed Jun 16, 2023
we can know here how to maintain money in a proper
5.0
·Reviewed Jun 10, 2020
Really good course for those who are just a beginner to understand the concept of financial analysis and also for those who wants recall the topics for continues improvement.
5.0
·Reviewed Apr 28, 2020
Very interesting course. I enjoyed answering the quizzes. You'll be able to learn a lot especially with financial ratios and their application.
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M
Mostafa
5.0
·Reviewed Mar 24, 2023
Hi,
I would like to thanks Coursera, Yonsei University and the instructor for this magnificent course.
I hope they could add how to calculate WACC, discount rate, Market Value ratio.
some explanation of why he calculates the interest rate for 2015 for a half-year
and why he calculated the Depreciation for the previous year.
I recommend this course for every financial manager and chief accountant.
again thanks a lot Coursera for helping and supporting me.
R
Ryan
5.0
·Reviewed Feb 10, 2020
This course builds on the material from the prior class towards the goal of building a pro-forma balance sheet and income statement. It begins with an excellent comprehensive review of financial ratios and moves into a look at the percentage of sales approach to pro-forma creation along with the ideas of internal and sustainable growth rate. Highly recommend!
D
Dileep
5.0
·Reviewed Jun 4, 2020
Hi Every one, Special thanks to Yonsei University and entire team
I totally enjoyed & learnt a lot with comfortable virtual sessions. Beautiful course for all Finance Students to take this course. I am to introduce and recommend this course to others. Glad to attend this course.
P
Pravat
5.0
·Reviewed Jun 24, 2023
Very good insights and this will enable someone to create free cash flow and balance sheet for this own venture. Also, WOW moment was to learn external finance need (EFN) and how do someone go about this.
S
Suman
5.0
·Reviewed Jun 11, 2020
Really good course for those who are just a beginner to understand the concept of financial analysis and also for those who wants recall the topics for continues improvement.
C
Clarice
5.0
·Reviewed Apr 29, 2020
Very interesting course. I enjoyed answering the quizzes. You'll be able to learn a lot especially with financial ratios and their application.
B
buraga
5.0
·Reviewed Jun 17, 2023
we can know here how to maintain money in a proper
