Pro-forma financial statements are
A)Based on assumed rather than actual results.
B)Used only in analyzing what has occurred in the past.
C)Based on historical data.
D)Not a component of the master budget.

Question

Quizplus · Accepted Answer

Pro-forma financial statements are projections of future financial performance based on assumed results, not actual results. They are commonly used in budgeting and forecasting.

Pro-Forma Financial Statements Are