Explains the difference between accounting costs and cash flows. Learners explore why investment analysis focuses on cash generation and how financial information is interpreted from a cash flow perspective.
Programme Overview
This self-paced programme is delivered by our expert Bartosz Tyrała. Many organisations misstate investment cash flows by confusing accounting profit with real cash movement, or by failing to account for working capital, CAPEX, and tax effects. This programme builds the practical skills needed to construct accurate, decision-ready cash flow models. Learners progress from accounting profit foundations and working capital mechanics, through to incremental cash flow identification, CAPEX and depreciation treatment, and the time value of money. Covering ten structured modules, the programme concludes with a fully integrated capital budgeting case study that brings all key techniques together in one complete, realistic investment decision.
Programme Structure
Key Module 1: Cost vs Cash: Foundations of Cash Flow Thinking
Key Module 2: Net Working Capital: Definition, Components, and Cash Flow Impact
Introduces the concept of net working capital and explains how changes in receivables, inventory and payables influence cash flow. Learners explore how working capital affects business liquidity and financial interpretation.
Key Module 3: Working Capital Models and Forecasting
Explains how working capital relationships are represented in financial models. Learners explore how operational assumptions influence forecasts and how working capital dynamics appear in financial projections.
Key Module 4: CAPEX, Depreciation, Amortisation, and Tax Effects
Introduces the financial concepts associated with capital investment. Learners examine how capital expenditures, depreciation, amortisation and taxes influence financial statements and cash flow interpretation.
Key Module 5: Relevant (Incremental) Cash Flow in Investment Decisions
Explains how analysts identify relevant or incremental cash flows when evaluating investment opportunities. Learners explore how financial analysis isolates the cash flows associated with specific decisions.
Key Module 6: Building a Basic Investment Cash Flow Model
Introduces the structure of a basic investment cash flow model. Learners explore how financial assumptions, working capital and capital expenditure are combined to represent cash flow patterns over time.
Outcome and Impact
Business Outcomes
Learners leave able to construct accurate, decision-ready cash flow models — correctly separating accounting profit from cash movement across working capital, CAPEX, depreciation, and tax adjustments.
Is this right for you?
Designed for finance professionals, project managers, and analysts who build cash flow models from scratch but currently rely on accounting profit figures that misrepresent their actual cash position.
Programme Impact
Participants complete with a fully integrated capital budgeting case study showing how each cash flow component connects — from working capital mechanics to incremental CAPEX and depreciation effects.