Describe how you developed the pro forma projected expenses and operating costs

Assessment Description

The purpose of this assignment is to build and defend financial projections for your business idea. This includes estimating units sold, revenue, and costs for the first 3 years (12 Quarters) of the business.

Part 1

Build a pro forma Excel sheet estimating revenue and all operating cost items of the business for each of the first 3 years (12 quarters) of operation. Review the pro forma examples provided in the topic Resources. Pro forma estimates should be based on researched information and rational assumptions.

APA style is not required, but solid academic writing is expected. 

Part 2

Write a 750-1,000-word summary of your pro forma spreadsheet. Include the following items:

1. Describe how you developed the pro forma projected expenses and operating costs.

2. Explain your revenue estimates, variable costs, fixed costs, margin, and how your arrived at your figures.

While APA style is not required for the body of this assignment, solid academic writing is expected, and documentation of sources should be presented using APA formatting guidelines, which can be found in the APA Style Guide, located in the Student Success Center.   

General Requirements

Together, the Excel spreadsheet and summary should define and defend financial projections for your business idea as if you were presenting to key stakeholders. Submit both the pro forma Excel spreadsheet and the Word document.

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