Lebanese Association of Certified Public Accountants
Exams' Program 2018
Managerial Accounting
Financial Statements Analysis
1- Basic financial statement analysis
- Common size statements
- Vertical common size statements
- Horizontal common size statements
2- Financial ratios
- Liquidity/Solvency Ratios
- Working capital analysis
- Sensitivity analysis on liquidity ratios
- Capital structure analysis
- Degree of financial leverage
- Debit ratio (Leverage ratio)
- Ratio analysis on debt/ liabilities
- Capital structure and risk
- Off-balance sheet financing
- Operating activity analysis
- Measuring the ability to pay
- Earnings per share
- Return on capital investment
- Sustainable equity growth
3 - Profitability analysis
- Return on investment
- Return on assets
- Return on equity and return on common equity
- DuPont Model
- Sustainable growth rate
- Revenue analysis
- Income measurement analysis
Corporate Finance
1 - Risk and return
- Calculating risk
- Calculating rates of return
- Risk and return relationship
- Risk and return in a portfolio context
- Diversification
- Capital asset pricing model
2 - Long term financial management
- Risks and returns in investment and financing decisions
- Bonds
- Stocks
- Common stocks
- Preferred stocks
- Derivatives
- Cost of capital
- Weighted average cost of capital
- Marginal cost of capital
- Use of cost of capital in investment decisions
3 - Raising capital
- Intermediate term sources
- Long term sources
4 - Working capital management
- Cash management
- Marketable securities management
- Accounts receivables management
- Inventory management
- Types of short term credit
- Short term credit management
5 - Corporate restructuring
- Mergers and acquisitions
- Divestitures
- Evaluating factors for restructuring
- Valuing a business for merger and acquisition
- Business failures
6 - International finance
- Foreign currency exchange
- Fixed, flexible and floating currency exchange rates
- Types of exchange risk exposure
- Risk and rate of return for foreign investment
- Financing and paying for international trade
- Transfer pricing
- Legal and social issues in global business
Decision Analysis
7 - Cost/ volume/ Profit analysis
- CVP calculating the breakeven point
- CVP (breakeven graph)
- Operating leverage
- The single product firm
8 - Marginal analysis
- Special orders of pricing
- Make versus buy
- Sell or process further
- Add or drop a segment
- Income taxes
9 - Pricing
- Setting prices
- Cost based pricing
- Laws of supply and demand
- Price elasticity of demand
- Government intervention in market operations
- Impact of cartels in pricing
Risk Management
- Enterprise risk
- Risk and expected loss
Investment decisions
1 - Capital budgeting process
- Capital budgeting techniques
- Incremental cash flows
- Income tax considerations
- Qualitative considerations in capital investments
2 - Discounted cash flow analysis
- Required rate of return
- Net present value
- Internal rate of return
- Comparison of NPV and IRR
3 - Payback and discounted payback
- Uses of payback method
- Discounted payback
4 - Risk analysis in capital investment
- Sensitivity and scenario analysis
- Certainty equivalents
- Capital asset pricing