To fully understand the effects of a proposed project, total cash ﬂows should be developed as part
of the project's pro forma statements.

Question

Quizplus · Accepted Answer

Total cash flows are necessary to accurately determine the profitability and financial feasibility of a proposed project. Pro forma statements, which include projections of future financial performance, must include total cash flows to provide a comprehensive evaluation of the project.

To Fully Understand the Effects of a Proposed Project, Total