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 add-backs to earnings, explain financial trends and walk EBITDA forward. You will learn how to use techniques, including trend analysis, common-size analysis, and benchmark analysis, to measure the quality of earnings.
Learning Objectives
- You will be able to identify the ratios calculated in Quality of Earnings Report.
- You will be able to identify the analysis' prepared in Quality of Earnings Report.
- You will be able to differentiate between the Quality of Earnings report and the Quality of Assets report.
- You will be able to identify the most important part of the quality of earnings engagement
Add to Wishlist
Credit
More Program Information
Why Lorman?
Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.
Agenda
Process of Quality of Earnings Engagement
- The Focus on EBITDA as a Measure of Earnings (Earnings Before Interest, Taxes, Depreciation, and Amortization)
- Quality of Earnings From the Buyer's Perspective
- Quality of Earnings From the Seller's Perspective
EBITDA Add-Backs
- Owner Perquisites - What Is a Perk vs. Fair Compensation?
- Recurring vs. Nonrecurring Income and Expenses
- Normalizing Start-Up Operations
EBITDA Walk Forward
- Identify Annual Variances That Impact EBITDA
- Learn How to Walk EBITDA Forward From One Year to the Next
- How to Present the Walk Forward in a Meaningful Context
Benchmark Analysis
- Comparison of Recent Financial Trends to Industry Benchmarks
- Sources of Benchmarks
- How to Identify Valid Reasons for Variances and How to Present Them
Trend, Common Size, and Ratio Analysis
- Understand How Annual Trends Reveal Relationships Between Certain Expenses and Revenue
- Understand How to Spot Margin Growth and Attrition
- Understand How Product Mix Impacts the Quality of Earnings
Add to Wishlist
Credit
More Program Information
Why Lorman?
Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.
Credits
OnDemand Course
This course was last reviewed on November 15, 2023.
Call 1-866-352-9540 for further credit information.
- CPE/NASBA - QAS Self Study 1.6 including Accounting 1.6
- Noggin Guru, Inc. dba Lorman Education Services and BankersHub is registered with the National Association of State Boards of Accountancy (NASBA) as a QAS Self Study sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its web site: www.nasbaregistry.org. For more information regarding administrative policies such as complaint and refund, please contact our offices at 866-352-9539. CPE Credit: Maximum Credit Hours: 1.6 each session (based on a 50 minute credit hour). You must attend at least 50 minutes to obtain credit. Field of Study: Accounting for 1.6 hours. Prerequisite: . Level of Knowledge: Intermediate. Teaching Method: Seminar/Lecture. Advance Preparation: None. Delivery Method: QAS Self Study. Please refer to the information in this advertisement for outline, course content and objectives. Upon completion of this course, you will receive a certificate of attendance. Final approval of a course for CPE credit belongs with each state's regulatory board.
Add to Wishlist
Credit
More Program Information
Why Lorman?
Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.
Faculty
Michele Avery, CPA/ABV, MBA, CVA, MAFF
Carr, Riggs & Ingram, LLC
Michele Avery, CPA/ABV, CVA, MAFF
- Partner at Carr, Riggs & Ingram, LLC
- Practice is focused solely on business valuation, including transactions of business interests, litigation issues, and estate matters
- Regular speaker on business valuation and business transactions for CLE and CPE for attorneys and accountants
- Holds the American Institute of Certified Public Accountants’ Accredited in Business Valuation credential and the National Association of Certified Valuators and Analysts’ Certified Valuation Analyst credential
- M.B.A. degree, Louisiana State University; B.A. degree, University of Wisconsin – Superior
- Can be contacted at 504-585-4410 or [email protected]
Add to Wishlist
Credit
More Program Information
Why Lorman?
Over 37 years and 1.4 million customers worth of experience providing continuing education. Our passion is providing you world-class training to help you succeed in business and as a professional.
All of your training, right here at Lorman.
Pay once and get a full year of unlimited training in any format, any time!
- OnDemand Courses
- Live Webinars
- MP3 Downloads
- Course Manuals
- Executive Reports
- White Papers and Articles
Additional benefits include:
- State Specific Credit Tracker
- All-Access Pass Course Concierge
Questions? Call 877-296-2169 to speak with a real person.
Access to all training products for one year
$699/year
Unlimited Lorman Training
With the All-Access Pass there is no guessing what you will need for your yearly training budget. $699 will cover all of your training needs for an entire year!
Easy Registrations
Once you purchase your All-Access Pass you will never be any further than one-click away from attending any Lorman training course.
Invest in Yourself
You haven't gotten to where you are professionally by luck alone; it's taken a lot of hard work and training. Invest in yourself with the All-Access Pass.