Dr. Ken Brackney, professor of accounting at Appalachian State University, and App State MS in Accounting student Megan Temple '22, '23 recently co‑authored an instructional case entitled “Instructional Case: Investigating the Predictive Accuracy of Acquirers’ Pro Forma Earnings Disclosures.”
The researchers' work was published in the Journal of Business Cases and Applications.
The case uses a natural reporting setting in which acquiring firms disclose both consolidated earnings and pro forma earnings for the acquisition year. Students are asked to assess the relative predictive value of pro forma earnings by comparing how well each earnings measure forecasts consolidated earnings in the first and second years following a business combination. The case is based on a set of recent acquisitions and is designed to strengthen students’ analytical and financial reporting skills.
Dr. Ken Brackney, Megan Temple
Dr. Ken Brackney, Megan Temple