Through university and college examples, you will learn the fundamental accounting principles behind the CFI (Composite Financial Index). You will also discover how to avoid common misrepresentations of the data so you can be more confident in using this tool to support stakeholder conversations about your institutional financial performance.
You will learn:
- Key concepts behind the ratios
- Fund accounting principles with a focus on expendable net assets
- Examples of the impact of incorrect computations
- How to avoid common overstatement of the CFI
- Ensuring clean and accurate source data for your CFI
- Conditions for a strong peer analysis and pitfalls to avoid
Who Should Attend
This webcast is designed for an institution’s financial managers, including CFOs, controllers, and budget directors with an accounting or related degree and 3 years of experience.
Calculate the CFI
We’ll begin by giving you a deeper understanding of the metrics and weighting behind the CFI to help you understand what the CFI is supposed to do from a fund accounting perspective, including why certain financial terms are more important than others and can communicate this with confidence to stakeholders.
Practice Interpreting the CFI and Avoid Pitfalls
You will be given three short exercises to practice interpreting the CFI. Through these exercises, you will learn three ways the CFI is commonly misused and how to avoid this. You will also better understand the skills and abilities you will need in your internal and external audits and peer review.
Ensure Accuracy in your Interpretation
This section will focus on quality control through key strategies to be successful in both calculating and using the ratios. Key areas will include where the CFI provides flexibility and where judgement should be used, especially in terms of debt, interest rates, and large endowments.
Ron Salluzzo, Partner, Attain, LLC
Phil Tahey, Owner, P. Tahey, CPA