44 Video Activity
What Is a Pro Forma?
If you have difficulty viewing the video above, use this link https://youtu.be/D4dSEoLyNCA.
After watching the video, answer the following questions:
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
If you have difficulty viewing the video above, use this link https://youtu.be/4SNWA_HbF6U.
After watching the video, answer the following questions:
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?
Attribution:
This chapter is from “Principles of Finance” https://openstax.org/books/principles-finance/pages/1-why-it-matters by Dahlquist and Knight. This book is licensed under the CC-BY 4.0 license. 2022 OpenStax.