Similar to a pro forma income statement, the pro forma balance sheet A projected balance sheet. is a projection of a balance sheet. While the percentage-of-sales method could be used for the balance sheet as well, a more sophisticated and accurate approach would be to analyze each line of the balance sheet. A pro forma balance sheet is similar to a historical balance sheet, but it represents a future projection. Pro forma balance sheets are used to project how the business will be managing its assets in the future. For example, a pro forma balance sheet can quickly show the projected relative amount of money tied up in receivables, inventory, and equipment.

The pro forma balance sheets, income statements and statements of cash flows show what might happen if a new MacroWidget product is introduced, based on the data available. Pro Forma Statements vs. Certainty