Financial Statement information at times appears to be overwhelming. Directors, managers, officers, auditors, reviewers, investors, controllers, regulators and others often try to focus on financial statements to pinpoint bank areas of concern.
Generally, they are concerned with unusual transactions, unusual events, accounting changes, business changes, or misstatements.
Various tools such as the following are used to help focus on the analysis:
- Use of Financial Statement Analytical Procedures (APs) Designed to Focus on Bank Area of Concern
- Use of the Uniform Bank Holding Company Performance Report (UBHCPR)
- Use of Key Indicators (KIs)
This accounting training addresses the first of these three tools – Use of Financial Statement Analytical Procedures. The other two tools are covered in other BankersHub accounting webinars.
This webinar addresses historical trend analysis which includes:
- Dollar Analysis
- Percentage Analysis
- Common-Size Financial Statement Analysis: Balance Sheet and Income Statement