An entrepreneur wants to start a new business and is writing down estimates of sales,cost of sales,and net profits. This entrepreneur is crating a
A) balance sheet.
B) pro-forma income statement.
C) cash flow statement.
D) selection of adverse impact.
E) long-term liability.

Question

Quizplus · Accepted Answer

The entrepreneur is estimating sales, cost of sales, and net profits, which are all parts of an income statement. Therefore, the entrepreneur is creating a pro-forma income statement.

An Entrepreneur Wants to Start a New Business and Is