- 18 -
that were dated August 31, 1988 (August 31, 1988 unaudited
personal financial statements). In preparing the foregoing
statements for petitioners, Mr. Olbres gave Mr. Dennett the
figures to include, and Mr. Dennett placed those figures in the
proper places and made the necessary calculations.
The unaudited projected business financial statements for
Design Consultants for 1986 contained the following caveats:
We have compiled the accompanying projected balance
sheet, statements of income, retained earnings, and
changes in financial position of A.G. Olbres Design, as
of December 31, 1986, and for the year ending, in
accordance with standards established by the American
Institute of Certified Public Accountants.
The accompanying projection and this report was pre-
pared for the purpose of selling the business and
should not be used for any other purpose.
A compilation is limited to presenting in the form of a
projection information that is the representation of
management and does not include evaluation of the
support for the assumptions underlying the projection.
We have not examined the projection and, accordingly do
not express an opinion or any other form of assurance
on the accompanying or assumptions. * * * We have no
responsibility to update this report for events and
circumstances occurring after the date of this report.
Virtually identical caveats except for the second paragraph
quoted above appeared in a letter addressed to Anthony G. Olbres
DBA White Star Design, Inc., that was part of the unaudited
projected business financial statements for White Star for 1988.
The unaudited projected financial statements for Design Consul-
tants for 1986 reflected projected gross receipts in an amount
that is almost twice as large as the gross receipts for Design
Page: Previous 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 NextLast modified: May 25, 2011