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Financial Forecast Procedure

2010/11/18 15:20:00 35

Financial Forecast Procedure Personnel Arrangement

 

Finance

Forecast

The following procedures are normally carried out:


1. accurately predict the target and target.

First, it is necessary to clearly predict the target and target, and then determine the scope and time of the prediction according to the predicted objectives, contents and requirements.


2. definite prediction

plan

The forecast plan includes the organizational leadership, the personnel arrangement, the work schedule, the budget and so on.


The 3. episode collated data.

Data collection is the basis of prediction.

The company should make clear the contents, ways and means of collecting data according to the object and purpose of the forecast, and then collect it.

We should check the reliability, completeness and typicality of the collected data, analyze its availability and the impact of contingencies, so that we can get rid of the false and retain the truth, remove the coarse and extract the essence, and classify and summarize the data according to the needs.


4. a definite prediction method.

Financial forecast work must be completed by certain scientific methods.

The company should select appropriate forecasting methods according to the purpose of prediction and the characteristics of information.

When using quantitative methods, a mathematical statistical model should be established. When using qualitative methods, the outline of the budget should be formulated according to certain logical thinking.


5. make practical predictions.

Use the selected scientific forecasting method to make the financial budget and get the preliminary budget results.

The prediction results can be expressed in text, form or graph.


6. evaluation and amendment

Forecast

Result.

Prediction is, after all, the assumption and inference of future financial activities, and there will inevitably be forecast errors.

Therefore, the prediction results can only be adopted after economic analysis and evaluation.

The emphasis of analysis and evaluation is on the new changes in internal and external factors that affect future development.

If the error is large, it should be corrected or re predicted to determine the best prediction value.

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