Question

Proforma ______ is the component of the financial plan that summarizes all the projected sources of funds available to the venture to raise finance from.

Options

• investment decisions

• financing decisions

• income statements

• cash flow

Answer 1

Proforma financing decisions is the component of the financial plan that summarizes all the projected sources of funds available to the venture to raise finance from.

Explanation:

A Proforma financing decision in a financial plan outlines all the projected sources of funds, such as equity, loans, or retained earnings, through which a business will raise capital. It shows how the venture plans to obtain the required finance. Therefore, the correct answer is financing decisions.