Sometimes, we might be confused with certain terms used like:

• Flash
• Best-estimate
• Forecast
• Budget
• Plan

Normally flash is when the company’s cut off is over but the accounting deadline for submission is still a bit far away like about 7 to 10 days.

Local management or your overseas bosses want to see a “ flash” – an image of what might be the actual results.
As the company’s cut off for sales is over, the flash should be almost the same as the actual results whether in terms of sales, expenses or profit/(loss).

A best estimate or BE figure is what we to our best of our knowledge whether past trend/data or using our inner and external knowledge to guess what should be the financial figure be. To coined simply, “ to the best of your ability, get me the figures”

Similarly, a forecast is a set of best estimate which is done after a budget has been completed. Due to time lapse after the completion of the budget, scenario might change which render the necessity of re-looking again hence the after match of re-looking is the forecast.

A budget or a plan is the same.

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