A financial statement is comprised of the balance sheet, income statement, and statement of cash flows. In the projected financial statement analysis, we will use the balance sheet and the income statement and then project out over the next three years to determine if Tesla, Inc.'s (Tesla) strategy implementation will be profitable. When projecting we will factor in all the implications of the strategy implementation. We will first pull in Tesla's financial statements from FYE 2022 from Tesla's Form 10-K and then we will forecast out for over the next three years. The income statement is where we will project Tesla's expected financial performance to be over the next three years through revenue, cost of goods sold, and operating expenses (David et al., 2020). Once we determine the projections, we can calculate the net income and retained earnings for the balance sheet. The balance sheet has the assets, liabilities, and equity and is where we will add in the additional expected expenses for property, plant, and equipment as well as the capital needed to fund the implementation of the strategies. Furthermore, financial statements will aid in the calculation of the actual as well as projected financial ratios which will be used to compare to historical data as well as to competitors and the industry averages to determine where Tesla stands against its competitors and how Tesla fares against competition with new strategies implemented (David et al., 2020). What are your thoughts?

David, F. R., David, F. R., & David, M. E. (2020).Strategic management concepts and cases: A competitive advantage approach(17thed.). Pearson Education. ISBN-13: 9780135203699

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