A model to simulate the entire spectrum (1000 Å to 1 cm) of the high-excitation young planetary nebula NGC 7027 is presented. The ionized, dust, and molecular components of the object are modeled using geometric parameters obtained from visible, radio, infrared, and CO data. The physical processes considered include recombination lines of H and He, collisional excited lines of metals, bf and ff continuum radiations, two-photon radiation, dust continuum radiation, and molecular rotational and vibrational transitions. The dust component is assumed to be heated by a combination of direct starlight and the line and continuum radiation from the ionized nebula. The molecular component of the nebula is coupled to the dust component through the stimulated absorption of the dust continuum radiation. Specifically, we compare the predicted fluxes of the CO rotational lines and the 179.5 μm water rotational line to those observed by the Infrared Space Observatory satellite (Liu et al. 1996, A&A in press).