Respuesta :
The process of estimating expected future cash flows of a project using only the relevant parts of the balance sheet and income statements is referred to as:
=> pro forma analysis.
The correct option is (C).
Now, According to the question:
Financial Analysis:
Financial analysis means the process of evaluating past performance to predict future performance. It helps to gain information on the financial health of the company and enabling more effective decision-making.
Pro forma analysis means the process of evaluation of analytical projection of the future financial position of the company based on historical information. It is done with decision-making tools thorough financial review. Managements can use it in implementing a new data management system and be used in the income statement and balance sheet by providing necessary data through review.
Learn more about Financial Analysis at:
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The complete question is this:
The process of estimating expected future cash flows of a project using only the relevant parts of the balance sheet and income statements is referred to as:
A. incremental cash flows.
B. estimation and depreciation analysis.
C. pro forma analysis.
D. substitute and complement.
