ACCA AAA ^INT Syllabus F. Other Assignments - Definition of PFI - Notes ^{1 / 4}

It covers:

1. Forecasts up to one year ahead

2. Projections up to five years ahead

Forecasts

• are based on expected future events

Projections

• are based on hypothetical assumptions

A Hypothetical Illustration

• is based on assumptions about uncertain future events and undecided management actions

Targets

• are based on assumptions about future performance