Private Banking
Cash Flow Construction and Analysis from Individual Tax Returns
The goal of this course is to teach participants how to use individual federal tax returns and financial statements to generate an accurate cash flow statement for an individual, and to use the results in the credit analysis process.
Course Description
The course will run for two days, from 8:30 am until 5:00 pm.
Participants will gain an understanding of key individual tax forms and schedules, learn why Adjusted Gross Income (“AGI”) does not represent cash flow, convert items of income or loss on a tax return to cash flow and assess recurring vs. non-recurring nature of those cash flows, gain an understanding of pass-through entity structures and the impact of those entities on a personal tax return (particularly how K-1s impact cash flow), and ultimately determine personal cash flow and the ability to service debt service obligations.