This intermediate session is a hands-on workshop including a presentation and an opportunity to calculate ratios for your institution. The presentation examines the methodology for employing financial ratio analysis in higher education using audited financial statements. The composite financial index (CFI) will be discussed including both its primary and supporting ratios. Special emphasis is placed on the background of ratio analysis in higher education as well as the common pitfalls of ratio analysis. Following the presentation, participants will utilize a template to calculate ratios for their institution. Participants must bring two years of audited financial statements and a calculator or laptop. Public institutions are encouraged to bring their foundations’ financial statements as well if they are not included as a discretely presented component unit.

2-10-10.pdf