Discover the crucial differences between pro forma and GAAP financial statements. Learn why companies use both and the potential implications of each for investors.

A business uses pro-forma, or projected, financial statements when developing a financial plan. A pro-forma financial statement uses the same format as a current balance sheet, income statement or ...

Pro-forma earnings are financial statements with hypothetical estimates that provide a "picture" of a company's profits if certain nonrecurring items are excluded. They may allow companies to ...

Developing a marketing budget is important to ensure proper growth of your business. Your existing budget should be reviewed annually and adjusted depending on your prior year's sales and your goals ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

On May 3, 2019, the Securities and Exchange Commission (SEC) proposed extensive changes to the financial disclosure requirements for business acquisitions and dispositions. The proposed amendments are ...

CONTRARY TO WHAT IS REQUIRED IN AUDITED financial statements, the only SEC regulation governing what companies put in their earnings releases is that the information should not be misleading. There ...

The growing use of “pro forma” financial results — that is, when companies report income or loss figures excluding a host of supposedly “one-time” charges — is drawing attention from critics who say ...