Finance and Banking \ 1-1
In this book, in which the topics covered in the first part of the voluminous financial management books are collected separately under the title of Introduction to Finance, the basic theoretical information about finance is tried to be conveyed in a plain language. In addition, examples of practice based on theories, up-to-date information from the world and Turkey on the subject, and additional information from alternative perspectives such as participation finance and behavioral finance are shared. As such, this book has been prepared in such a way that it is suitable for reading like a one-semester textbook and can appeal to people of all levels who want to gain introductory information about finance.
Reading the financial statements and making some judgments about a business by analyzing the financial statements is extremely important for all segments of the business. E.g; managers are aware of the current situation of the company they manage and make plans for the future; partners, to see the status of their companies; Investors, during the process of understanding the situation of the company they are considering to invest and making the investment decision; On the other hand, credit institutions make use of the results of financial analysis while evaluating the loan application of the company. In addition to the sections related to the business we have mentioned, various groups such as other businesses, the state, unions and researchers that have commercial relations with the business also benefit from the results of financial analysis.
There are three main features that distinguish this book from the financial statement analysis books available in the market. The first of these, as stated above, is to include financial statements prepared in accordance with the new practice, Turkish Accounting Standards/Turkish Financial Reporting Standards (TMS/TFRS), not the old practice Uniform Accounting System (TDMS). The second important feature that distinguishes the book from other books is that financial analysis and evaluations are made on the financial statements of two companies operating in Borsa Istanbul (TOFAŞ AŞ and FORD AŞ) instead of imaginary examples. Of course, such an approach will make the analysis and evaluations more realistic. As the third distinguishing feature in the book; KPSS, SMMM, Account Expertise, Banking etc. It can be shown that the questions and solutions in the institution exams are included.
The book consists of four parts. Our aim; in the first part of the book, introducing the financial statements issued by the businesses; in the second part, how to analyze financial statements issued by businesses, that is, to introduce financial analysis techniques; In the third part, it is to introduce some advanced analysis topics that are increasingly important for businesses. In the fourth and last part of the book, there are KPSS, SMMM (Certified Accountant and Financial Advisor), Account Expertise, Banking etc. There are questions and solutions related to institutional exams.
There are three main features that distinguish this book from the financial statement analysis books available in the market. The first of these, as stated above, is to include financial statements prepared in accordance with the new practice, Turkish Accounting Standards/Turkish Financial Reporting Standards (TMS/TFRS), not the old practice Uniform Accounting System (TDMS). The second important feature that distinguishes the book from other books is that financial analysis and evaluations are made on the financial statements of two companies operating in Borsa Istanbul (TOFAŞ AŞ and FORD AŞ) instead of imaginary examples. Of course, such an approach will make the analysis and evaluations more realistic. As the third distinguishing feature in the book; KPSS, SMMM, Account Expertise, Banking etc. It can be shown that the questions and solutions in the institution exams are included.
The book consists of four parts. Our aim; in the first part of the book, introducing the financial statements issued by the businesses; in the second part, how to analyze financial statements issued by businesses, that is, to introduce financial analysis techniques; In the third part, it is to introduce some advanced analysis topics that are increasingly important for businesses. In the fourth and last part of the book, there are KPSS, SMMM (Certified Accountant and Financial Advisor), Account Expertise, Banking etc. There are questions and solutions related to institutional exams.
The aim of the book is to give financial issues related to financial management, its basic principles in a simplified way in a systematic way and to help students by supporting the theory with problems.
The problems and case studies in the book are generally taken from real life. Thanks to these problems, students will become accustomed to how to address and solve a private financial problem when faced with a real-life financial problem. In addition to the book problems, financial purpose, statements, depreciation, taxes, cash flows and financial mathematics, environment, analysis and control, forecasting, planning, profit-cost-volume relations, measures to strengthen the financial structure, working capital management, long-term investment decisions in companies, capital budgeting, compilation of bonds and stocks, risk and return analysis, capital cost and structure decisions, long-term financing alternatives, short-medium-long-term debt sources, debt management.
The problems and case studies in the book are generally taken from real life. Thanks to these problems, students will become accustomed to how to address and solve a private financial problem when faced with a real-life financial problem. In addition to the book problems, financial purpose, statements, depreciation, taxes, cash flows and financial mathematics, environment, analysis and control, forecasting, planning, profit-cost-volume relations, measures to strengthen the financial structure, working capital management, long-term investment decisions in companies, capital budgeting, compilation of bonds and stocks, risk and return analysis, capital cost and structure decisions, long-term financing alternatives, short-medium-long-term debt sources, debt management.
Financial decisions must be sound and accurate in order for companies to achieve their goals and to continue their activities successfully in a brutal competitive environment. The future is uncertain and full of risks, and both uncertainty and risks should be taken into account in the decisions to be taken. Financial decisions taken affect the financial position of the firm and will therefore have an impact on the market price of the firm. When we think that volatility and development dominate the markets, we see that financial management information needs to be constantly developed and updated. For this reason, the sixth edition was prepared a little different from the other editions and tried to be updated.
In Turkish Financial Reporting Standards and International Financial Reporting Standards (TFRS/IFRS), related to financial instruments; There are 4 (four) standards: TMS/UMS 32: Financial Instruments: Presentation, TMS/UMS:39 Financial Instruments: Recognition and Measurement, TFRS/IFRS 7: Financial Instruments: Disclosures, TFRS/IFRS 9: Financial Instruments standards.
In the study, the principles of presentation with TAS / IAS 32, accounting (reporting) and valuation principles with TMS / IAS 39, and public disclosure principles with TFRS / IFRS 7 are examined with examples and contributed to the implementation of financial instruments in an impartial and effective manner. intended to be.
In line with these purposes; Definition, presentation, classification, valuation (measurement) of financial instruments, footnote explanations, reporting of derivative financial instruments and hedge accounting are tried to be explained with examples.
In the study, the principles of presentation with TAS / IAS 32, accounting (reporting) and valuation principles with TMS / IAS 39, and public disclosure principles with TFRS / IFRS 7 are examined with examples and contributed to the implementation of financial instruments in an impartial and effective manner. intended to be.
In line with these purposes; Definition, presentation, classification, valuation (measurement) of financial instruments, footnote explanations, reporting of derivative financial instruments and hedge accounting are tried to be explained with examples.
Indirect or intermediary financing plays a vital role in today's contemporary financial systems. Even in directly financed markets, it is often not possible for market participants to trade individually and they need to get services from specialized financial intermediaries. Thus, the roles and activities of financial intermediaries have increased more than ever before. It is well known to those who are familiar with the subject that banks have always had a very important place among financial intermediaries. It is also well known that commercial banks or deposit banks play a dominant role among the types of banks such as investment banks, development banks or participation banks.
It is observed that commercial banks, which are the leading players of bank-based financial systems, are increasingly dominating market-based financial systems. Although investment banks have a significant weight in market-based systems, it is seen that commercial banks have increasingly penetrated into this area in the last two decades, with the effect of financial liberalization trends. The same trend is strongly felt in other areas of finance, particularly in the insurance sector, with practices such as bancassurance.
One of the most important reasons why commercial banks are in a superior position even in different types of financial systems is that they turn into supermarkets of financial products and services over time, suppressing other types of intermediation in the system by using their space and economies of scale advantages. Today, customers who demand financial products and services go to meet all their needs through commercial banks, as they save a lot of time and money. Indeed, with their widespread branch networks, internet branches, advanced technology-based applications such as mobile and telephone banking, commercial banks can serve their customers on a 24/7 basis, almost anywhere.
This book covers the basic principles and theories of the management of commercial banks, which have a central role in today's contemporary financial systems and have now become almost the dominant type of intermediation. Within the scope of financial management principles of banks; Topics such as the management of the bank firm and its branches, the fund raising and utilization strategies of banks, pricing and marketing strategies specific to banks are covered. Written at undergraduate and graduate levels, the book is a resource that can be easily used at the associate degree level, ignoring some technical issues. In addition, we believe that the book will be useful in providing a general vision to readers who are interested in banking or who are just starting out in this profession.
It is observed that commercial banks, which are the leading players of bank-based financial systems, are increasingly dominating market-based financial systems. Although investment banks have a significant weight in market-based systems, it is seen that commercial banks have increasingly penetrated into this area in the last two decades, with the effect of financial liberalization trends. The same trend is strongly felt in other areas of finance, particularly in the insurance sector, with practices such as bancassurance.
One of the most important reasons why commercial banks are in a superior position even in different types of financial systems is that they turn into supermarkets of financial products and services over time, suppressing other types of intermediation in the system by using their space and economies of scale advantages. Today, customers who demand financial products and services go to meet all their needs through commercial banks, as they save a lot of time and money. Indeed, with their widespread branch networks, internet branches, advanced technology-based applications such as mobile and telephone banking, commercial banks can serve their customers on a 24/7 basis, almost anywhere.
This book covers the basic principles and theories of the management of commercial banks, which have a central role in today's contemporary financial systems and have now become almost the dominant type of intermediation. Within the scope of financial management principles of banks; Topics such as the management of the bank firm and its branches, the fund raising and utilization strategies of banks, pricing and marketing strategies specific to banks are covered. Written at undergraduate and graduate levels, the book is a resource that can be easily used at the associate degree level, ignoring some technical issues. In addition, we believe that the book will be useful in providing a general vision to readers who are interested in banking or who are just starting out in this profession.