Pro-forma balance sheet

Answer 1

Proforma:

Description of financial statements that have one or more assumptions or hypothetical conditions built into the data. Often used with balance sheets and income statements.

Example:

Provided to show rent or income projections (typically it is the NOI - Net Operating income - that is looked at in this application) upon acquisition of Commercial real estate or a Business, so as to justify the obtaining of financing for the purchase - Used to demonstrate the Borrower's ability to repay the loan based on income projections taking into account Mortgage or loan terms, and actual or projected income based on reasonable and qualified assumptions.