Calculate and develop the financial statements and projections for the first year of business by doing the following:

1. Develop a month-by-month forecasted profit and loss statement using an estimate of revenues and operating costs based on the sales forecast.

2. Develop a forecasted balance sheet for the end of year one.

A balance sheet is provided that accurately accounts for retained earnings, owner investment, and a bank loan. However, the balance sheet is not reconciled (assets and liabilities do not match). Please review.

Please help! I do not know why the attached forecasted balance sheet will not balance.

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