Financial projections - Income statement, bal sheet and cash flows
 

I am trying to make a model to forecast financial statements for a small
business. The problem is that I am having problems getting all the balance
sheet to balance. Can some point me to a template or instructions for doing
this?

Part of the challenge is figuring out what should be inputs and outputs and
where to plug the imbalance (in order to get Assets = Liab + SE, I have to
plug somewhere). I've read somewhere that cash should be the plug, but I am
currently calculating cash based on change in operating, financial and
investment cash balances year over year. Would greatly appreciate any help!

Financial projections - Income statement, bal sheet and cash flows
 

If you've captured all of the correct balances, the difference should equal
Current Period Earnings (the same difference the Income Statement would
have). Consequently, the "plug" should be to Equity.

Does that help?
***********
Regards,
Ron

XL2002, WinXP


"Wahine15" wrote:

I am trying to make a model to forecast financial statements for a small
business. The problem is that I am having problems getting all the balance
sheet to balance. Can some point me to a template or instructions for doing
this?

Part of the challenge is figuring out what should be inputs and outputs and
where to plug the imbalance (in order to get Assets = Liab + SE, I have to
plug somewhere). I've read somewhere that cash should be the plug, but I am
currently calculating cash based on change in operating, financial and
investment cash balances year over year. Would greatly appreciate any help!

Financial projections - Income statement, bal sheet and cash f
 

Thanks Ron. The year over year change to equity is from net income
incr(decr), so in my model equity is a dependent variable. Are you thinking
of another way?

"Ron Coderre" wrote:

If you've captured all of the correct balances, the difference should equal
Current Period Earnings (the same difference the Income Statement would
have). Consequently, the "plug" should be to Equity.

Does that help?
***********
Regards,
Ron

XL2002, WinXP


"Wahine15" wrote:

I am trying to make a model to forecast financial statements for a small
business. The problem is that I am having problems getting all the balance
sheet to balance. Can some point me to a template or instructions for doing
this?

Part of the challenge is figuring out what should be inputs and outputs and
where to plug the imbalance (in order to get Assets = Liab + SE, I have to
plug somewhere). I've read somewhere that cash should be the plug, but I am
currently calculating cash based on change in operating, financial and
investment cash balances year over year. Would greatly appreciate any help!

Financial projections - Income statement, bal sheet and cash f
 

If you're producing interim balance sheets, the reconciling value for the
balance sheet should equal YTD net income(loss) after taxes and adjustments.

Does that help?
***********
Regards,
Ron

XL2002, WinXP


"Wahine15" wrote:

Thanks Ron. The year over year change to equity is from net income
incr(decr), so in my model equity is a dependent variable. Are you thinking
of another way?

"Ron Coderre" wrote:

If you've captured all of the correct balances, the difference should equal
Current Period Earnings (the same difference the Income Statement would
have). Consequently, the "plug" should be to Equity.

Does that help?
***********
Regards,
Ron

XL2002, WinXP


"Wahine15" wrote:

I am trying to make a model to forecast financial statements for a small
business. The problem is that I am having problems getting all the balance
sheet to balance. Can some point me to a template or instructions for doing
this?

Part of the challenge is figuring out what should be inputs and outputs and
where to plug the imbalance (in order to get Assets = Liab + SE, I have to
plug somewhere). I've read somewhere that cash should be the plug, but I am
currently calculating cash based on change in operating, financial and
investment cash balances year over year. Would greatly appreciate any help!