A forecast is a prospective financial statement that ________?
1) presents an entity's audited expected financial position, results of operations, and cash flows for future periods, to the best of the responsible party's knowledge and belief.
2) presents an entity's financial position, results of operations, and cash flows, to the best of the responsible party's knowledge and belief, given one or more hypothetical assumptions.
3) presents an entity's expected financial position, results of operations, and cash flows for future periods, to the best of the responsible party's knowledge and belief.
4) reports the results of agreed-upon procedures.