A Planner's Percentage of Sales Model Forecasts That Sales Will

question 56

Multiple Choice

A planner's percentage of sales model forecasts that sales will grow by 20% next year.If costs of goods sold are proportionate at 70% of sales,then costs of goods sold will:

• A) grow to 90% of sales.
• B) grow in dollars by 70%.
• C) not change in dollar amount.
• D) increase by 20% in dollar terms.

---

Definitions:

Bile

A digestive fluid produced by the liver and stored in the gallbladder, aiding in the digestion and absorption of fats.

Essential Fatty Acid

A type of fat that is necessary for biological processes but cannot be synthesized by the human body, thus must be obtained from one's diet.

Corn Oil

A vegetable oil extracted from the germ of corn kernels, commonly used for cooking, frying, and as an ingredient in various food products.

Sunflower Oil

A vegetable oil extracted from the seeds of the sunflower plant, often used in cooking and in food products.