Abstract
This paper is concerned with the problems of interpreting prospectus profit forecasts and with reconciling subsequent results reported in annual accounts.1 It is based on an examination of212 prospectus profit forecasts published in 1968 and 1969 and on the annual report and accounts of each company for the two years following its forecast. The data were collected for an investigation into the accuracy of company profit forecasts*; companies whose reported and forecast profits were not comparable (e.g. due to takeovers not allowed for in the forecasts) had previously been eliminated from the data. During the investigation it became apparent that there were some interpretation problems that could have been avoided if the figures had been more clearly defined.
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
