Ch. 4 Financial Project

The financial project will make sure you have a sound foundation of financial statements and how they are created. This is essential to manage a business. The financial project is designed to coordinate with the budget project done later in this course.

In a true business model, the proforma financial statements (budget project) would be created first and financial statements (financial statements) would be created at the end of each month.  The two statements would then be compared to each other to see how the company is performing.  For learning purposes, the two projects need to be done in the reverse order.