18.13: Video Activity
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What Is a Pro Forma?
1.
What is a pro forma financial statement? What are some scenarios in which you might find a pro forma financial statement helpful?
2.
Why might someone compile a pro forma financial statement that is intentionally inaccurate? What factors contribute to the accuracy of a pro forma?
Cash Flow Forecasting Explained: How to Complete a Cash Flow Forecast Example
3.
Assume you are the financial manager for a large electronics retailer. What benefits could you gain from preparing a cash forecast?
4.
Assume you are the financial manager for a large electronics retailer. You are going to prepare a cash forecast. What key cash inflows and outflows do you anticipate will be in your forecast?