In using a systems approach to financial planning, it is necessary to develop a
A)pro forma income statement.
B)cash budget.
C)pro forma balance sheet.
D)All of the options.

Question

Quizplus · Accepted Answer

A systems approach to financial planning involves analyzing and coordinating all aspects of a person's financial situation. This includes developing a pro forma income statement to forecast future income and expenses, a cash budget to manage cash flow, and a pro forma balance sheet to evaluate net worth. Therefore, all of the options are necessary components of a systems approach to financial planning.

In Using a Systems Approach to Financial Planning, It Is