Introduction to Financial Statement Analysis (2025 CFA® Level I Exam – FSA – Learning Module 1)

Learn the fundamentals of Financial Statement Analysis (FSA) for the CFA® Level I exam. This lesson introduces the financial statement analysis framework, explains how analysts evaluate financial information, and covers regulatory filings, financial statement notes, disclosures, auditing, and IFRS vs. US GAAP. What You'll Learn: ✓ Understand the purpose and role of financial statement analysis ✓ Identify the characteristics of useful financial statements: accuracy, transparency, and usefulness ✓ Explain the six-phase financial statement analysis framework ✓ Understand how analysts collect, process, interpret, and communicate financial information ✓ Evaluate financial statements to support investment and credit decisions ✓ Understand the role of regulatory authorities and securities regulators ✓ Identify key SEC filings, including Form 10-K, proxy statements, and Form 8-K ✓ Understand the purpose of financial statement notes and supplementary information ✓ Explain segment reporting and the information provided by operating segments ✓ Understand Management's Discussion and Analysis (MD&A) ✓ Explain the role and purpose of independent auditors ✓ Understand different types of audit opinions ✓ Compare IFRS and US GAAP and understand the importance of convergence ✓ Understand how analysts monitor new accounting developments, products, and transactions ✓ Identify additional sources of information used in financial statement analysis Chapters: 00:04 Introduction to Financial Statement Analysis 01:13 Financial Statements: Accuracy, Transparency, and Usefulness 02:13 Prerequisite Financial Statement Knowledge 03:15 Financial Analysis and Investment Decisions 05:12 Financial Statement Analysis Framework 06:35 Phase 1: Articulate the Purpose 09:00 Intended Audience, Timeline, Resources, and Constraints 10:05 Sources and Collection of Data 10:44 Processing Financial Data 12:42 Understanding Factors and Making Adjustments 14:33 Phase 4: Interpret the Output 14:57 Communication and Drawing Conclusions 16:03 Phase 5: Analytical Report 16:55 Phase 6: Follow-Up and Review 17:41 Role of Financial Statement Analysis 18:23 Investment, Credit, and Economic Decisions 20:15 Mergers, Acquisitions, and Private Companies 21:25 Analysing Company Financial Performance 24:00 Regulatory and Legal Authorities 26:03 International Organization of Securities Commissions (IOSCO) 27:19 Objectives of Regulatory Authorities 29:56 SEC and U.S. Securities Regulation 30:40 Securities Act of 1933 and Securities Exchange Act of 1934 31:20 Sarbanes-Oxley Act and Auditor Independence 32:45 Security Offerings and Registration Statements 33:16 Annual Reports and SEC Filings 34:52 Form 10-K and Proxy Statements 36:52 Form 8-K and Material Corporate Events 37:30 Beneficial Ownership Filings 38:28 European Securities Regulation 39:22 Financial Statement Notes and Supplementary Information 40:06 Information Included in Financial Statement Notes 42:03 Segment Reporting 44:45 Management's Discussion and Analysis (MD&A) 45:42 International Accounting Standards and Reporting 46:51 Independent Audits and Auditor Independence 48:42 Types of Audit Opinions 50:12 IFRS vs. U.S. GAAP 51:20 IFRS and U.S. GAAP Convergence 53:17 Monitoring Accounting and Financial Reporting Developments 54:22 New Products, Transactions, and Regulatory Changes 57:48 CFA Institute and Sources of Information 59:24 Summary and Learning Module Review Study smarter with AnalystPrep's CFA® packages: CFA Level I:https://analystprep.com/shop/cfa-leve... CFA Level II:https://analystprep.com/shop/cfa-leve... CFA Level III:https://analystprep.com/shop/cfa-leve... Follow AnalystPrep for more CFA® and finance education content: Facebook:   / analystprep   Instagram:   / analyst_prep   LinkedIn:   / analystprep   #CFAExam #CFALevelI #CFAExamPrep #FinancialStatementAnalysis #FSA #FinancialStatements #Accounting #FinancialAnalysis #IFRS #USGAAP #SEC #Auditing #InvestmentAnalysis #AnalystPrep