MANAGEMENT

Detailed explanation-1: -A balance sheet is a financial statement that reports a company’s assets, liabilities, and shareholder equity. The balance sheet is one of the three core financial statements that are used to evaluate a business. It provides a snapshot of a company’s finances (what it owns and owes) as of the date of publication.

Detailed explanation-2: -Pro forma financial statements are projections of future expenses and revenues, based on a company’s past experience and future plans.

Detailed explanation-3: -A pro forma balance sheet is a key component in your pro forma, your 5 to 7-year projection. It lists out your future assets, liabilities, and stockholders’ equity in the same format as your historical balance sheet.