Jan
30
The financial plan is a document indicating the financing requirements necessary to support a given set of plans in other areas. Its main components are the projected income statement and balance sheet, supported by a cash budget, personnel budget, production budget, purchasing budget, and break-even analysis.
The projected income statement is a forecast of all items in the income statement of the firm for a given period. The cash budget is a projection of future cash receipts and cash disbursements of the firm over various interval of time.