Description
Gain a better understanding of what a quality of earnings report means and who needs one.This course will provide you with an understanding of the process of conducting a quality of earnings engagement and how to conduct this analysis. You will learn how to identify addbacks to earnings, explain financial trends and walk EBITDA forward. You will learn how to use techniques, including trend analysis, commonsize analysis, and benchmark analysis, to measure the quality of earnings.
Date: 2024-11-08 Start Time: End Time:
Learning Objectives
QOE Objectives
• Establish Normalized EBITDA
• Identify Non-Operating or Excess Assets
• Establish Net Working Capital Target
Contents of QOE Reports
• Cash Proof of Revenue
• Quality of Earnings Analysis
• Financial Statement Analysis
• Working Capital Analysis
QOE Analysis
• Identify Adjustments
• EBITDA Bridge
• Re-Casted Income Statement
Financial Statement Analysis
• Common Size Analysis
• Trend Analysis
• Variance Analysis
Working Capital Analysis
• Accounts Receivable Quality
• Inventory / Payables
• Establishing Working Capital PEG
Michele Avery, CPA/ABV, MBA, CVA, MAFF-Carr, Riggs & Ingram, LLC
