Forecasting

Learn how to leverage drivers to create a forecast.

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For more information on forecasting balance accounts, see also: Schedule Forecasting, Journal Forecasting

In Pluvo you can examine historical data and forecast your finances easily. For each of your various finances (revenue, expenses, liabilities, assets, and equities) you will find that there are a number of accounts which are used to “drive” the forecast.

For the purpose of this example, let’s take a look at our expenses.

Note that the logic seen in the following knowledge article is applicable to every financial forecast found within the Pluvo app.

Figure 1.0

When you first click on ‘Expenses’ you will be greeted by a bar chart which depicts your forecast, based on identified expense accounts. See figure 1.1 (below) for reference.

Figure 1.1

Using the date range filters you can forecast future data, and examine past data as well.

Figure 1.2

Let's take a look at one of the accounts used to generate this forecast. In figure ? (above), take a look at the advertising and promotion account. It is predicted to grow monthly, and as such the values, associated sparkline, and bar chart above are all reflective of that growth.

So how do you use accounts to modify a forecast in Pluvo?

The answer: Forecasts.

Figure 1.3

When we click on the ‘Advertising and Promotion’ account we will find that there is a forecast which dictates that the account will experience a 10% growth month-over-month.

This is the internal logic which allows you to manipulate the forecast we saw at the beginning of this knowledge article. Let’s edit the forecast (by clicking the three dots) to understand its function.

Figure 1.4

As previously established in the Business Drivers in Pluvo knowledge article, this forecast is established using a date range, rule type, and numeric functions.

For more information on how forecast work within the Pluvo system, please reference the Drivers article!

So as we see in figure 1.4 the value of this expense is expected to grow by 10% month over month.

This directly correlates with the growth pattern found in figure 1.2.

[% INCREASE , STARTING VALUE (40000) per MONTH by 10%]

By understanding how forecast operate within the system, you will be able to create and edit forecasts within your financials section.