Overview
Castaway is designed to follow accounting principles when projecting your three-way model.
As part of this, certain balance sheet balances, such as Trade Debtors and Trade Creditors. carry forward from your actuals into projected months. The Balance Sheet element gives you control over how and when these balances are expected to be received or paid in the forecast, allowing your cash flow projections to reflect your most current assumptions.
For further detail on how elements work in Castaway, refer to: Element Types
Opening Balances to Model
The Balance Sheet element allows you to set the cash flow assumptions for the following accounts:
- Trade Debtors
- Trade Creditors
- Payroll Withholding
- Pension
- Employer Taxes
Navigating to the Balance Sheet Element
The Balance Sheet element is located at the bottom of the chart of accounts under the System heading.
- Go to Forecast > Element Settings.
- Scroll to the bottom of the chart of accounts, or minimise all headings until you locate the System heading.
- Click the Balance Sheet element to open it and begin adjusting your cash flow settings.
Configuring Cash Flow Settings
Expand the account you wish to adjust. Two cash flow setting options are available:
| Setting | How it Works |
|---|---|
| Enter Receipts/Payments | Manually enter the collection or payment amount for each period |
| % Spread | Set the collection or payment as a percentage of the balance across the months |
The cash flow terms you select here directly affect your forecast cash balance. Take care to select the setting that most accurately reflects your expected collection or payment timing to ensure your cash flow projections are as accurate as possible.