Which of the following is a
A) Pro forma financial statements are based on the company's budgets.
B) Companies prepare pro forma financial statements to show how their performance for the period will "look" if actual results match the budget.
C) Companies usually prepare a pro forma income statement,pro forma balance sheet,and pro forma statement of cash flows.
D) All of the answers are correct.

Question

Quizplus · Accepted Answer

All of the answers are correct. Pro forma financial statements are based on the company's budgets, and they are prepared to show how their performance for the period will "look" if actual results match the budget. Companies usually prepare a pro forma income statement, pro forma balance sheet, and pro forma statement of cash flows.

Which of the Following Is a