The purpose of this course is to introduce the participant to the flow of accounting from identifying economic occurrences and how they are reported in financial statements. Our aim is to demonstrate how the Balance Sheet, Income Statement, Reconciliation of Net Worth and Cash Flow Statement are developed and connected to each other. Classroom instruction will be taught from a former professional banker therefore the approach to the credit analysis process will be from a banker’s perspective. Case studies will be used to reinforce concepts presented. Specifically, the course will cover:

  • Underlying Assumptions Used by Accountants
  • Rules of Debits and Credits
  • Construction of the Balance Sheet, Income Statement, Reconciliation of Net Worth and the Statement of Cash Flow
  • Difference between Accrual and Cash Basis Accounting
  • Analysis of Accounts often used as Collateral such as:
    • Accounts Receivable (Aging Schedules, Allowance Calculations, etc)
    • Inventory (Effect of LIFO, FIFO and Average Cost Costing Methods)
    • Fixed Assets (Effect of varying Depreciation Methods)
  • Analysis of the Notes to the Financial Statements
  • Types of Financial Statements and meaning of CPA’ Opinions

After completing this course, the participant will have:

  • A firm understanding of how financial statements are constructed
  • A firm understanding of how the financial statements are connected
  • A firm understanding of the accounting used for major collateral accounts
  • A firm understanding of how to apply the concepts to credit analysis


  • Commercial Lenders
  • Consumer Lenders
  • Branch Managers
  • Credit Analysts
  • Loan Review Officers
  • Credit Officers
  • Directors requiring a better understanding of financial statements


"Jeffery did a fantastic job all week keeping us engaged in the material and involved. He was a fantastic coordinator & lead professor"

Cliff Knowlton, Prime South

"WONDERFUL!! Great Instructor, great information. Will definitely attend more of Jeffery's classes".

Ansley Oliver, Georgia Commerce Bank

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