L1 Model Building - Actual and Forecast settings and difference

zaibhamid81
zaibhamid81
in Modeling

Hi, 

 

I have just started L1 MB course and unable to understand time settings. Could someone please explain why Actual period is FY2019 and not FY2020 when we have set the current year to FY2020 in main time settings . Also why forecast period includes FY2020 ?

 

Please see these below SH.

zaibhamid81_0-1643127457215.pngzaibhamid81_1-1643127491315.pngzaibhamid81_2-1643127511062.png

 

 

Many Thanks.

J Hamid

 

 

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Best Answer

  • ManjunathKN
    ManjunathKN
    Answer ✓

    Hi

    When it says Actuals, it is not by period but rather it is by Data, You will have your Actuals Data only when you surpass that year right. That is the reason Actuals(Data) will be previous year(FY19).

    Current Year that is FY20 will also be a forecast year. Lets say you are in the month of Feb, so you will only have actuals data till last month, so from Feb to Dec it still has to be forecasted. This will help business to compare Forecasted vs Actuals Data.

    Hope this helps!

    Thanks
    Manjunath


Answers

  • KirillKuznetsov
    KirillKuznetsov

    @zaibhamid81 

    This depends on the current period in your first screenshot. You have to select it to switch the calculation result.

    There is Current period line item with formula CURRENTPERIODSTART(). 

    It drives what is Actuals, meaning historical data, and what is forecasted, meaning everything after historical.

    By the calculation everything which is bigger than or equal to current period is considered as Forecast in this model. 

     

  • zaibhamid81
    zaibhamid81

    Hi Manjunath

     

    Thank you so much for the explanation, it now makes sense to me and will help me to grasp the overall concept.

     

    Kind Regards

    J Hamid  

  • zaibhamid81
    zaibhamid81
    Thank you KirillKuzentsov for your reply, it helped to understand the concept.

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