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Please complete the following statements.
1. Pro Forma Income statement for the first year. See Exhibit 3, Notice that the first year statement is generated monthly. Also notice that a critical part of the statement is the list of assumptions concerning how the numbers were derived (see notes to the statement in text example).
2. Pro Forma Income statement for years two and three by quarter. See Exhibit 4 Include the list of assumptions.
3. Pro Forma Cash Flow statement for the first year. See Exhibit 5. Please include the modification suggested in the lecture notes to include a beginning checkbook balance and ending checkbook balance for each month. Provide a list of assumptions.
4. Pro Forma Cash Flow for years two and three by quarter. See Exhibit 6, Include the modifications and list of assumptions.
5. Pro Forma Balance Sheets for years 0, 1, 2, and 3. See Exhibit 7, PDF. Modify the text example by adding a year 0 or the balance sheet as of the day the business opens. By making this modification, it will be much easier to develop the years 1, 2, and 3 statements.
I have also provided a sample Excel files ?Operating Statements Example is available as sample
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