• USES OF PRO FORMA STATEMENTS
• THE SEC FORMAT
• PRO FORMA STATEMENTS FOR CHANGES IN ENTITY AND FOR BUSINESS COMBINATIONS
• ACQUISITION OR DISPOSAL OF PART OF A BUSINESS
• SUMMARY
• FURTHER READING:

Pro forma, a Latin term meaning "as a matter of form," is applied to the process of presenting financial projections for a specific period in a standardized format. Businesses use pro forma statements for decision making in planning and control, and for external reporting to owners, investors, and creditors. Pro forma statements can be used as the basis of comparison and analysis to provide...