Projected financial statements can assist management with all of the following except:
A) providing a useful insight on the effect of plans on future financial performance.
B) identifying future financing needs.
C) assessing whether the expected outcomes from a particular course of action are acceptable.
D) providing the actual profit figure earned by the business.

Question

Quizplus · Accepted Answer

Projected financial statements can provide useful insights on the effect of plans on future financial performance, identifying future financing needs, and assessing whether the expected outcomes from a particular course of action are acceptable. However, they cannot provide the actual profit figure earned by the business as it is a projection and not an actual result.

Projected Financial Statements Can Assist Management with All of the Following