solved 13. respond with 150 words – samantha What are projected

13. respond with 150 words – samantha 
What are projected financial statements? Projected financial statements incorporate current trends and expectations to arrive at a financial picture that management believes it can attain as of a future date (Accounting Tools, 2021).  The projected financial statement is developed in the following manner:

Forecast sales based on the previous years sales and the trend of the increase in the sales.
Project cost of goods sold and the expenses on the basis of percentage of sales method.
Compute the net projected income.
Compute the retained earnings at the year end will be computed by adding the net income to be retained earnings at the beginning and subtracting the dividends paids.
Forecast stockholders equity, long-term liability, current liabilities, total liabilities, and total assets. 
Prepare projected balance sheets on the basis of above calculations.
Make remarks on the projected statements.

Once the analysis of the firm and its financial statements are completed, there are further questions that must be answered.One of the most critical is: “Can we really trust the numbers that are being provided?” There are many reported instances of accounting irregularities. Whether it is called aggressive accounting, earnings management, or outright fraudulent financial reporting, it is important for the financial professional to understand how these types of manipulations are perpetrated and more importantly, how to detect them (Masson, 2018)
13. respond with 150 words -odeny 
Prepare the projected income statement before the balance sheet. Start by forecasting sales as accurately as possible.

Use the percentage of sales method to project the cost of goods sold (CGS) and the expense items in the income statement. For example, if CGS is 70 percent of sales in the prior year then use that same percentage to calculate CGS in the future year. Items such as interest, dividends, and taxes must be treated independently and cannot be forecasted using the percentage-of-sales method.
Calculate the projected net income.
Subtract from the net income any dividends to be paid for that year. This remaining net income is Retained Earnings. Reflect the Retained Earnings total on both the income statement and balance sheet because this item is the key link between the two projected statements. Bring this retained earnings amount for that year (NI-DIV = RE) over to the balance sheet by adding it to the prior year’s RE shown on the balance sheet. The RE on the balance sheet is a cumulative number rather than money available for strategy implementation
Project the balance sheet items, beginning with retained earnings and then forecasting stockholder’s equity, long-term liabilities, current liabilities, total liabilities, total assets, fixed assets, and current assets (in that order). Use the cash account as the plug figure; that is use the cash account to make the assets total the liabilities and net worth. Then, make appropriate adjustments.
List comments on the projected statements. Any time a significant change is made in an item from a prior year to the projected year, a remark should be provided
14. respond with 150 words -Leveque 
There are many ways that strategies can be looked at depending on what it is that you are looking to do. Understanding what it is that your organization needs in order to succeed is the way that strategize is started. You have to be able to create the proper planning to provide to the people that are involved in building the business to its full potential. The job of management in these situations is to create an effective strategy that can be useful and that employees can believe in. Once the strategies are created and the plans are implemented, there has to be a later evaluation on if the strategies has worked and what can be done to improve them if change is needed further down the line. There are five characteristics of effective strategy evaluation to discuss. The first characteristic is that the strategy provides economic gains. Make sure information is current and just enough. The second characteristic is that the strategy is meaningful, making sure that “they should specifically relate to a firm’s objectives” (David/David.2020). Third the information should prove to be timely because information may be provided to management on the daily. Fourth, the strategy should b able to provide the true picture of what it is that is being accomplished. And finally, “the strategy-evaluation process should not dominate decisions” (David/David. 2020). Everyone involved has to be on the same page and agree equally with everything that has been decided.
David/David. 2020. Strategy Review, Evaluation, and Control. Strategic Management: A Competitive Advantage Approach. Concepts and Cases, 16/e  
14 respond with 150 words- stephanie

When it comes to five characteristics of effective strategy evaluation there are five characteristics that can be considered:
When implementing an effective characteristic, one should consider determining first, if their strategy is measurable. Which here is critical when deciding any type of factor, where here goals are formulated as well.
Also keeping in mind simulations would be incorporated to assess the effectiveness of it all.
Next would means to evaluate it performance, where sometimes it may require a few other adjustments. If it requires too much more money to continue then it may be necessary to implement, another approach.
After it is fully applied, the overall effectiveness will assess all the resources to verify all the objectives were met, if it has not been met to the expectations than it may be required to start over from scratch
It can also involve decision makers, where sometimes if it’s too much information it becomes too broad, then it is suggested to be reduced rather than increase the range (Punt and Donovan 2007; IWC 2012a).
It can also be expected to conduct assessments, knowing that errors ca be expected, consequently with the pretenses of making sure the available data is realistic and possible.
View attached explanation and answer. 
Discussion Response
13. Samantha
Projected financial statements can be defined as financial statements that give a financial picture that can be attained in the future by using current trends together with expectations (Evana et al., 2019). For projected financial statements to be made, current trend lines and expense percentages based on current revenue and expense ratios are used. Often, the projected financial statements given cannot be as accurate as they would be needed after using just the current trendlines and the expense percentages. Evana et al. (2019) explain that better projected financial statements can be given incorporating features that include a statement of cash flow, expense projections, firm’s growth pace, and the ability of the business t attract funding, among others.
Evana et al. (2019) also explain that projected financial statements are prepared through projecting expenses and revenue, creating financial projections, determining financial needs, using the projections for monitoring, planning for contingencies, and monitoring.
Evana, E., Metalia, M., & Mirfazli, E. (2019). Business Ethics in Providing Financial Statements: The Testing of Fraud Pentagon Theory on the Manufacturing Sector in Indonesia. Business Ethics and Leadership, 3(3), 68-77.
14. Stephanie
Several characteristics are considered when determining whether an evaluation strategy is effective or not. The first characteristic of an effective strategy is that it is one that provides feedback. According to Hieu and Nwachukwu (2019), an effective strategy must be able to provide efficient feedback. Also, When evaluating a strategy, one must check whether the data brought forth by the strategy is actionable. Thirdly, Hieu and Nwachukwu (2019) explain that an effective strategy is supposed to provide opportunities where deliberate practice can be employed. Additionally, an effective strategy is supposed to have a leveraging technology. Finally, an effective strategy must provide means through which the outcome can be measured and substantiated.
Hieu, V. M., & Nwachukwu, C. (2019). Strategy Evaluation Process and Strategic Performance Nexus.