24-Month Pro Forma Assignment
Creativity and diversity can lead to outcomes that maximize profit and enhance social well-being. 24-Month Pro Forma Assignment. Business leaders use measurable factors to help determine design and development decisions, “go” or “no-go” milestones, financial models, and many “what if” scenarios. This process considers the new product or service part of a system.
You rocked your BMC and received a great response from the experienced project manager (PM). As you read the feedback, you realize that it’s now time to develop the financial component. In the comments, the PM also stated that no matter how good the idea is, to senior management, it’s a “no-go” if the new product or service does not produce sales.
In preparation for your funding pitch, which you will submit as your course project in Module Seven, the PM also warns that funding pitches are quick and decisive. Including too much information could overwhelm senior management, cause more questions, and erode the purpose of the funding pitch.
The PM’s directive at this point is for you to develop a 24-month pro forma that demonstrates the potential profitability of the new product or service in an income statement. To complete this assignment, you will use the Module Six Assignment Template linked in the Guidelines for Submission section.
You may use the current company’s income statement to project what can be added to the company’s profitability. This can be found in the company’s 10-K. Look to other companies in the marketplace with products or services similar to your proposal as a basis for your projections. Additionally, you may use the company’s current year numbers and critical assumptions based on your market analysis to project into the future. Remember, these numbers are purely speculative.
In the template, you will specifically address the following:
- Previous fiscal year: Identify historical information for the previous fiscal year.
- 24-month projections: Speculate projections for 24 months.
- Explanation of assumptions: Explain how you were able to speculate appropriate assumptions.
I have attached the Template for the assignment. Also, all the assignments up to now are for reference.