Cash-Budget

Cash-Budget - The Cash Budget FIN 340 Prof. David Allen...

Info iconThis preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
The Cash Budget FIN 340 Prof. David Allen
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Introduction Published financial statements provide useful information about the firm's historical performance. These, along with the footnotes and management's discussion and analysis, also give the financial analyst insights into the future performance of the firm. In this unit, we will examine techniques that are used to project the financial statements into the future, in order to help assess the future health of the firm.
Background image of page 2
Introduction We begin with the cash budget. Cash budget are used to estimate the inflows and outflows of cash over some time period, typically a year. Next, we examine two methods of forecasting the income statement, balance sheet, and statement of cash flows. These forecasts may be for one or more years, and help to determine future resources needs, financing, and profitability of the firm.
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Cash Budgets A tool that helps forecast a firm’s future short-term financing needs. Recall that the income statement is prepared using
Background image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 10

Cash-Budget - The Cash Budget FIN 340 Prof. David Allen...

This preview shows document pages 1 - 5. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online