THE EXAMINATION OF PROSPECTIVE FINANCIAL INFORMATION

forecast – meaning

A forecast means prospective financial information prepared on the basis of assumptions as to future events which the management expects to take place and the actions the management expects to take as of the date the information is prepared (best-estimate assumptions).

A forecast is usually made for a period of no more than one year.… Read the rest

Factors to consider before accepting an engagement to report on prspective financial information.

Prospective financial information (PFI) are information based on assumption about events that may occur in the future and possible action by the entity. it can be forecast (PFI based on assumptions to future events which management expect to take place and action management expect to take) or projection (PFI based on hypothetical assumption about future events and management action, a
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What is prospective financial information?

Prospective financial information means information based on assumption about events that may occur in the future and possible actions by entity.

Prospective financial information can be either:

  • forecast – these are prospective financial information based on assumptions about the future events which management expect to take place and actions management expect to take.
  • Projection – these are prospective financial information
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