Asked by Jared Jacobson on May 21, 2024

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Pro forma financial statements are used primarily to assess a firm's historical performance.

Pro Forma Financial Statements

Financial statements based on hypothetical scenarios or assumptions about the future of a business.

  • Learn the process of developing pro forma financial statements and their role in forecasting.
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LS
LivingLifeWith SuperiorMay 21, 2024
Final Answer :
False
Explanation :
Pro forma financial statements are used primarily to forecast the future financial performance of a company based on certain assumptions or hypothetical situations. While they may take into account past performance in creating these projections, their primary purpose is to provide estimates and projections for future performance.