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melisa1 [442]
4 years ago
9

Given one or more hypothetical assumptions, a responsible party may prepare, to the best of his knowledge and belief, an entity'

s expected financial position, results of operations, and changes in cash flows. Such prospective financial statements are known as:___________.
Business
1 answer:
Sergeeva-Olga [200]4 years ago
5 0

Answer: Financial projections

Explanation:

 The financial projection is the term which is used for forecasting the various types of future based expenses and also the revenue of an organization. It also helps in preparing the financial statement by using their best knowledge, result and also manage the cash flow system.  

It also helps in developing the various types of short term financial based projection that for the purpose of internal marketing information.

The importance of the financial projection is that it helps in preparing the basic finance base statement by predicting the firm's outcome. Therefore, Financial projections is the correct answer.

 

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