After I enter monthly sales assumptions in Cashflow Plan, why are these correctly reflected in the Income Statements (P&Ls) but no corresponding cash inflows appear in the Cashflow Projections?

This can arise where (a) all values have been cleared from an Cashflow Plan model; and (b) sales assumptions have been entered into the Assumptions Report No. 1 - Sales; and (c) no further assumption have been entered into other monthly assumption reports. This condition gives rise to the following calculation error message when the model re-calculates: "The four sub-models are not producing identical results!".

In addition to entering the sales assumptions, you need to specify customer credit terms by completing the lower table in Assumptions Report No. 6 - Receivables, Payables & Phasing of Opening Balances. Once this has been done and the model updated, the cashflows relating to sales (and any associated output taxes e.g. VAT, GST) will appear in the monthly cashflows.

The cashflows will be calculated in accordance with the credit terms specified in Report No. 6. More.

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