FIN 2243 Using Financial Ratios to Assess Institutional Financial Health

This session combines lecture with hands-on experience focused on financial ratio assessment for colleges and universities. Following a presentation on the critical elements of higher education financial ratio analysis, with particular emphasis on the Composite Financial Index (CFI), participants will measure their institution’s financial health utilizing the audited financial statements the students will provide. Using digital templates provided for the session, and guided by the presenter/facilitator, they will examine their financial statements to find key financial elements necessary for calculating the four key ratios comprising the CFI. After participants have calculated one year’s CFI, the results will be diagnosed. Time permitting, participants will calculate additional years’ ratios and emerging trends will be examined. Accounting expertise/ experience is not required for this session. Participants are required to bring a laptop or tablet and two years of audited financial statements—preferably in hardcopy format. Those from public institutions should bring the corresponding audited financial statements for their foundation(s).