Financial Planning and Agency Conflicts

Financial Planning and Agency Conflicts” Please respond to the following:

* From the scenario, cite your forecasting conclusions that support TFC’s decision to expand to the West Coast market. Speculate as to whether or not the agency conflict discussed in the scenario could become a roadblock to your conclusions. Provide a rationale for your response.
* From the mini case, recommend two (2) desired characteristics of a board of directors. Provide support for your response, citing the ways in which these characteristics usually lead to effective corporate governance.

preview of the answer…

Forecasting financial process is sequential to arrive at the financial statements to facilitate decision making. The company can rely on one-year forecasts as compared to a five-year forecast given its accuracy levels. Long-term forecasts can be used to plan for the necessary resources, assets, and liabilities to attain the set objectives; besides, they are subject to review when correct information is available (Brigham, 2014). The five-years forecast as used by TFC demonstrated a 10% growth rate with the profit margin being higher. Such a projection can be considered as positive. The operating plans seek to ensure the total costs are 75% of the overall sale….

APA 393 words