Summary: Current Events That Affect Pro Forma

767 Words4 Pages
Current Events that Affect Pro Forma Documents Bradley W. Trapp Many things affect business in a large way, and these businesses must forecast in order to stay ahead of the competition. Each major change in the external or internal environment must be taken into account when making the forecasting documents. Recent events that businesses must account for are the record snows in the past year, the passage of the “Health Care Reform” bill and the up coming elections in November. Record snows and rain fall within the past few months have made predicting future performance within a business hard to do. Any company that receives a product to sell or require the customer to show up at a store in person would be affected. Sales from past months could not be expected to…show more content…
Every business wants to know how well they will do in the near future, but when the position of a law maker is open it is almost impossible to know what the future may bring. If companies do not know if the laws being made are going to raise or lower costs of operations then how will they know if any company will still be around to continue business thus increasing cost because of the witch to a competitor. (Berr, 2010) Whether it is a local or a national election the people who are making laws will always affect any business within their jurisdiction. Any size company should always take into account that the future will not be as easy to forecast if an election is up coming. Any previous month’s numbers can not be relied upon as much as they would be able to in the past to help in the production of any Pro Forma document. While there are many things that can affect the production of Pro Forma Financial Statements the most current and influential events that shape them in the current climate would be the Health Car Reform Act passing, the up coming elections and the record weather of the past

More about Summary: Current Events That Affect Pro Forma

Open Document