When Preparing Its Sales Forecast, an Organisation Can Use the 'Bottom-Up

question 2

Multiple Choice

When preparing its sales forecast, an organisation can use the 'bottom-up' approach. What is one of the features of this approach?

• A)Operating personnel are motivated to prepare realistic budgets and accept them as benchmarks in performance evaluation.
• B)Multiple levels of managers and salespersons are involved in the forecasting process.
• C)It often involves negotiations between departments.
• D)All of the above

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Definitions:

Futures Contracts

Financial contracts obligating the buyer to purchase an asset or the seller to sell an asset, such as a physical commodity or a financial instrument, at a predetermined future date and price.

Electronic Networks

Systems or platforms that facilitate the trading of financial instruments, such as stocks and currencies, digitally and without a physical trading floor.

Trading Pits

Physical locations on the floor of some exchanges where traders use open outcry and hand signals to buy and sell commodities or financial instruments.

Futures Contracts

Standardized legal agreements to buy or sell a particular commodity or financial instrument at a predetermined price at a specified time in the future.