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Information given: In what ways can pro forma financial statements be used to evaluate a company's financial condition? Pro forma financial statements are reports that

Information given:

In what ways can pro forma financial statements be used to evaluate a company's financial condition?

Pro forma financial statements are reports that use assumptions and hypothetical data to predict the future financial performance of a company. They can be used to evaluate a company's financial condition in various ways, such as:

  • Developing sales and budget projections
  • Assembling profit/loss and cash flow projections
  • Identifying the company's assumptions and risks
  • Comparing balance sheets and financial ratios
  • Securing funding and making business decisions

Question to be answered:

Do you expect that Pfizer's sales will increase by at least 10% next year compared to this year?

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