Pro forma financial statements, by definition, are predictions of a company's financial statements at a future point

Question:

Pro forma financial statements, by definition, are predictions of a company's financial statements at a future point in time. So why is it important to analyze the historical performance of the company be- fore constructing pro forma financial statements?

AppendixLO1

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Analysis For Financial Management

ISBN: 9780071276269

9th International Edition

Authors: Robert C. Higgins

Question Posted: