A Sales Forecast Refers to

question 14

Multiple Choice

A sales forecast refers to

• A)the total sales of a product that a firm expects to sell during a specified time period under specified environmental conditions and its own marketing efforts.
• B)sales goals based on past performances of individual sales representatives,used as motivation for productivity among this staff.
• C)the total sales from a product that could be generated with a hypothetical set of preferred environmental forces.
• D)the total industry sales generated by a product during a specified time period that results from specified environmental conditions.
• E)published information about competitors' sales from the NAICS.

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Definitions:

High-low Method

A technique used in managerial accounting to estimate variable and fixed cost components of a cost formula, using the highest and lowest levels of activity.

Electrical Cost

Expenses associated with the consumption of electricity by a company, home, or another facility, impacting operational budgets.

Fixed Portion

The part of a cost or expense that remains constant regardless of changes in the level of activity or volume of production.

Variable Selling

Selling expenses that change in proportion to the volume of sales, such as commissions.