Underestimating the Sales in Your Forecast Could Have Which of the Following

question 99

Multiple Choice

Underestimating the sales in your forecast could have which of the following effects on the firm?

• A) The firm could acquire too many fixed assets.
• B) The firm would have higher costs for depreciation and storage.
• C) The firm could lose market share to their competitors.
• D) The firm would have too high of a total asset turnover.

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Definitions:

Ethics And Values

Fundamental principles and beliefs that guide behavior and decision-making within an organization.

Competitive Positions

A firm's relative standing in its industry or market, determined by its competitive advantage, market share, and ability to attract and retain customers.

Cost

The amount of money required to purchase, maintain, or develop a product or service.

Differentiation

A strategy employed by businesses to make their products or services stand out from competitors', often through unique features, branding, or quality.