An Internal Forecast Is Based on ________

question 62

Multiple Choice

An internal forecast is based on ________.

• A) a buildup, or consensus, of sales forecasts through a firm's own sales channels, adjusted for additional factors such as production capabilities
• B) the relationships between a firm's sales and certain economic indicators
• C) the prediction of a firm's sales over a given period through surveys sent to financial analysts
• D) developing the pro forma income statement to forecast sales and then express the various income statement items as percentage of projected sales

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Definitions:

Jelly Beans

Small, bean-shaped sugar candies with various flavors and colors.

Proportion

A part, share, or number considered in comparative relation to a whole, often expressed as a fraction or percentage.

Fair 6-sided Dice

A cube-shaped object with each of its six faces showing a different number of dots from 1 to 6, used in games of chance to ensure an equal probability of landing on any face when thrown.

Histogram

A graphical representation of the distribution of numerical data, showing the frequency of data points in successive fixed intervals of values.