Financial Ratios


No. of mini-lessons4


Duration 15'

No. of mini-lessons 4

Resources Workbook

Course overview

So, you can just about understand the company accountant’s explanation of what “profit margin” means – but do you start to feel bewildered when they talk about the “debt-to-equity ratio” of your business? It’s easy to get lost in the numbers, but managers in any business need to learn how common financial ratios are applied to gain insights from the financial reports and annual statements that land on their desk.

This course will explain 7 of the most important financial ratios, and what they reveal about the performance of the business. Equipped with these analytical tools, your managers will be able to derive crucial information by examining financial records – and when they start to make sense of the numbers, they can make better business decisions.

What's covered

The equations of 7 common financial ratios

How to evaluate your corporate financial statements by applying financial ratios

The implications of key financial ratios regarding the financial health of a business

Why your teams need this course

For first-time and experienced managers, understanding the financial reports and corporate financial statements the business or department generates is essential to making informed and sensible financial choices. This course illustrates how to apply key financial ratios to the raw data in order to ascertain the financial health of a business, helping your managers identify areas in need of improvement.

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The CPD Certification Service is the world’s leading and largest independent accreditation organization for professional development courses across all industry sectors.