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Anastaziya [24]
3 years ago
6

What is important to understand about the label "pro forma"? Pro forma refers to GAAP-based financial statements. Pro forma requ

ires firms to present two distinct net profit amounts in their Form 10-Ks. Pro forma relates to the amount of debt in a firm’s capital structure. Pro forma earnings or financial statements are sometimes based on a firm’s own definition which is not technically a correct definition.
Business
2 answers:
AlexFokin [52]3 years ago
5 0

Answer:

Pro Forma earnings or financial statements are sometimes based on a firm's own definition which is not technically a correct definition.

Explanation:

Pro Forma  Financial Statement are based on assumptions , projections which can sometimes not be correct that is why in the answer there is "own definition" that refers to own projections and sometimes pro forma are based on previous year's information.

Nonamiya [84]3 years ago
4 0

Answer:

Pro forma income or fiscal summaries are some of the time dependent on an association's own definition which isn't technically a right definition.  

Explanation:

Fundamentally proforma explanations are projections of the fiscal summaries like accounting report, Income proclamation and income articulation and so on which depend on presumptions like future costs, future income, speculation, financing and so forth. Subsequently it is right to state that proforma fiscal reports depend on element possess series of expectations.

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If the price of a good increases by 5% and the quantity demanded decreases by 5%, then at that price, the good is _____.
anastassius [24]

Answer: unitary price elastic

Explanation:

A good is unitary price elastic if a change in price leads to the same proportional change in quantity demanded.

The coefficient of a good with unitary elasticity is 1 .

Coefficient of elasticity = percentage change in quantity demanded / percentage change in price

= 5% / 5% = 1

I hope my answer helps you

7 0
3 years ago
If a bank experiences a deposit outflow of​ $50 million with a required reserve ratio on deposits of​ 10%, which balance sheetLO
lilavasa [31]

Answer:

Balance Sheet B because the excess reserves are adequate to cover the deposit outflow without the bank needing to alter its balance sheet.

Explanation:

Balance Sheet B because the excess reserves are adequate to cover the deposit outflow without the bank needing to alter its balance sheet and $50 million deposit outflow means that reserves reduced by $50 million to $25 million. Since required reserves are $45 million (10% of the $450 million of deposits), which means the bank needs to acquire $20 million of reserves and the reserve can be obtain by either calling in or selling off $20 million of loans, borrowing $20 million in discount loans from the Fed, borrowing $20 million from other banks or corporations, selling $20 million of securities, or the combination of all.

5 0
4 years ago
Taylor inc., the company you work for, is considering a new project whose data are shown below. what is the project's year 1 cas
arsen [322]

Answer:

$27,175

Explanation:

Year 1

Sales                                  $62,500

Depreciation        $8,000

Operating Cost    $25,000

Total Expense                    <u>($33,000)</u>

Income Before tax              $29,500

Tax 35%                              <u>($10,325)</u>

Net Income                          <u>$19,175</u>

Interest Expense is not relevant to the project, It is a financing decision which will not be part of project calculation.

As the Net income includes the deduction of non cash item of depreciation. so, it will be added back to calculate the cash flow.

Cash Flow in year 1 = Net Income + Depreciation = $19,175 + $8,000 = $27,175

5 0
4 years ago
Read 2 more answers
Personal finance and I need help
Alex777 [14]
A. It is decreased by 50,000 (I'm 50% sure)
6% of 50,000 is 3,000
3 0
3 years ago
Without _______, no company can survive over the long run.
muminat
The answer is "Without the innovation, no company can survive over the long run". Trends and consumer's demand of product always change through the changes in eras and times. A company must face and equalize this changes by providing an innovation in its product. Therefore, with this condition only, a company could survive over the long run.
3 0
3 years ago
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