Prepare proforma financial statements for the third year considering all information obtained about the entity
(i.e. after reading the MD&A, the most recent annual reports, press releases, etc.). The starting point for the
proforma financial statements is the unadjusted most recent year-end financial statement of the assigned
company. The proforma statements should include the balance sheet, income statement and statement of
retained earnings. Notes to the financial statements are not required. A bonus of 5 marks is available for
completing a realistic pro forma cash flow statement.
Assumptions should be explicitly stated and supported for the following inputs to the proforma statements:
a. Inflation rate
b. Growth rate
c. Interest rate
d. Capital reinvestment rate
e. Dividend payout rate
One expense item should be specified as primarily variable and one expense item should be specified as
primarily fixed
Pro forma, a Latin term that means “for the sake of form” or “as a matter of form”, is a method of calculating financial results using certain projections or presumptions. Pro forma financials are not computed using standard generally accepted accounting principles (GAAP ) (GAAP) and usually leave out one-time expenses that are not part of normal company operations, such as restructuring costs following a merger. Essentially, a pro forma financial statement can exclude anything a company believes obscures the accuracy of its financial outlook and can be a useful piece of information to help assess a company’s future prospects.
ils of the design. On the other side, Pfleeger and Atlee decided to focus on the risks that are related to change and state that Bohner and Arnolds impact analysis can have many risks such as estimates of the resources, effort and schedule. P2: Evaluate the ways in which internal and external drivers of change affect leadership, team and individual behaviours within an organisation. Leaders can influence and help guide colleagues under them, so the organisation can be more effective in achieving their goals. Some leadership styles that are affected by external factors are organisational environment, organisational resources, employee roles, organisational culture, political factors and technology Organisations have their own work environments with their own values. These values are the care the organisation has for their community, staff, investors and customers and also determine how the business will be led. Leaders are dependent on their organisation’s resources such as technology, finance and physical resources to help achieve their goals. The success of an organisation depends on how well resources are handled and distributed. When employees take an important role in the organisation. Their position is defined by tasks and responsibilities that they have. Each employee has a different way in approaching tasks that can impact their career. They also effect the organisation by their work ethics and personal values. Each role will have difficulties that leaders must face to help the business.