the financial plan is one of the parts of a business plan, prepare a financial plan of a cow farm including the following instructions:

A. Actual income statements and balance sheets.

For an existing business, prepare income statements and balance sheets for the current year and for the prior 2 years.

B. Pro forma income statements.

Using sales forecasts and the accompanying production or operations costs, prepare proforma income statements for at least the first 3 years.

C. Pro forma balance sheets.

Prepare pro forma balance sheets semiannually in the first year and at the end of each of the first 3 years of operation.

D. Pro forma cash flow analysis.

Project cash flows monthly for the first year of operation and quarterly for at least the next2 years. Detail the amount and timing of expected cash inflows and outflows. Determine the need for and timing of additional financing and indicate peak requirements for working capital.

Indicate how necessary additional financing is to be obtained, such as through equity financing, bank loans, or short-term lines of credit from banks, on what terms, and how it is to be repaid. Remember that these numbers are based on cash, not accrual, accounting.

E. Breakeven chart.

Calculate breakeven and prepare a chart that shows when breakeven will be reached and any stepwise changes in breakeven that may occur.

Discuss the breakeven shown for your venture and whether it will be easy or difficult to attain, including a discussion of the size of breakeven sales volume relative to projected total sales, the size of gross margins and price sensitivity, and how the breakeven point might be lowered in case the venture falls short of sales projections.