Financial planning and forecasting estimate future financial outcomes to guide resource allocation, budgeting, and risk management. Key components include revenue projections, expense forecasts, cash flow forecasts, capital expenditure plans, and working capital requirements. Methods include historical trend analysis, regression, top-down and bottom-up approaches, scenario and sensitivity analysis. Outputs include budgets, pro forma financial statements, and rolling forecasts. Accuracy depends on the quality of assumptions, data, and regular updates