4-3 Steps in Financial Forecasting ■ Forecast sales Project the assets needed to support sales Project internally generated funds Project outside funds needed Decide how to raise funds See effects of plan on ratios and stock price Copy right C 2002 by Harcourt, Inc. All rights reserved4 - 3 Copyright © 2002 by Harcourt, Inc. All rights reserved. Steps in Financial Forecasting ◼Forecast sales ◼Project the assets needed to support sales ◼Project internally generated funds ◼Project outside funds needed ◼Decide how to raise funds ◼See effects of plan on ratios and stock price