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Sagot :
The pro forma balance sheet is prepared to ensure that the company's projected performance is in line with its strategic. Company restructuring costs, a decline in the value of the company's investments, or other accounting charges, such as amending the current balance sheet to correct inaccurate accounting methods in earlier years.
Are examples of expenses that are frequently removed from pro forma results. Beginning in the late 1990s, there was a surge in the reporting of pro forma results in the United States, with many dot-com companies employing the approach to recast their losses as profits, or at the very least to show smaller losses than the US GAAP accounting revealed.
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