Empirical Evidence on Recent Trends in Pro Forma Reporting

• Main Authors: BHATTACHARYA, Nilabhra, Black, Erv, Christensen, Ted, Mergenthaler, Rick
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2004
• Subjects: Accounting; Corporate Finance
• Online Access: https://ink.library.smu.edu.sg/soa_research/966; http://dx.doi.org/10.2308/acch.2004.18.1.27
• Institution: Singapore Management University

This study provides descriptive evidence on the controversial trend adopted by many firms in recent years of reporting earnings figures on a pro forma basis. pro forma earnings exclude normal income statement items that managers deem to be nonrecurring or nonrepresentative of ongoing operations. We...