When used properly,pro forma financial information makes a positive contribution to financial reporting.

Question

Quizplus · Accepted Answer

Pro forma financial information can provide important insights into the potential impact of significant transactions or events on a company's financial statements. It can also assist in comparing financial results across different periods or scenarios. However, it is important to ensure that pro forma information is presented fairly and transparently and not used to mislead or manipulate investors.

When Used Properly,pro Forma Financial Information Makes a Positive Contribution