Abstract
The methodology of PROgram development by SPECification and TRAnsformation is described. Formal requirement specifications are the basis for constructing correct and efficient programs by gradual transformation. The power of compact development methods using the transformational approach, as supported by the PROSPECTRA system, is illustrated by an example. The algebraic specification language is then described, focussing on its extension by higher order functions. The functional programming paradigm leads to a considerably higher degree of abstraction and avoids much repetitive development effort, in particular through the use of homomorphic extension functionals. The combination with algebraic specification not only allows reasoning about correctness but also permits direct optimisation transformations.
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