The ________ method of developing a pro forma balance sheet estimates values of certain balance sheet accounts while others are calculated. In this method, the firm's external financing is used as a balancing, or plug, figure.

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The judgmental method of developing a pro forma balance sheet is based on the manager's experience and intuition rather than on rigorous analysis. In this method, certain balance sheet accounts are estimated while others are calculated, and external financing is used as a plug figure to balance the sheet. This method is often used when financial data is limited or unreliable. The other methods listed (percent-of-sales, accrual, and cash) are used for different types of financial analysis and forecasting.

The ________ Method of Developing a Pro Forma Balance Sheet