4 ms·
Wrapping lies in a name like "pro forma" and calling it legit is still a lie. It boggles my mind that this is written off as acceptable, just another way of lo
by themartorana 11y ago
Wrapping lies in a name like "pro forma" and calling it legit is still a lie.
It boggles my mind that this is written off as acceptable, just another way of looking at the results. I own a business. I understand its accounting. Turning a $700m loss into a $400m profit is a $1.1b lie.
Edit: if you'd like to put recurring profits and expenses on a sheet and show it to me, fine. But if you omit one-off expenses when representing your financial position (and let's be honest, there are always one-offs) you've fraudulently represented yourself.
- lmm 11y agoAccounting is not a world of absolute truth like that, because no-one really knows what next year's cash flow will be. There is plenty of scope for opinion. Valuing your employee stock options according to Black Scholes is one possible model, not the absolute truth, and valuing them according to their face value is not a lie.