Which of the Following Require Adjustments When Forecasting Asset Needs

question 43

Multiple Choice

Which of the following require adjustments when forecasting asset needs as a percent of sales?

• A)If assets must be purchased in large,discrete quantities
• B)When the firm has excess capacity
• C)When assets can be leased rather than purchased
• D)Both A and B

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Definitions:

Graduate Management Admission Test

A standardized test used by business schools as part of the admissions process, assessing analytical, writing, quantitative, verbal, and reading skills in written English.

Confidence Interval

A spread of statistical figures, obtained by analyzing samples, seen as encompassing the unseen value of a population parameter.

Standard Deviation

An index to assess the range of fluctuation or deviation in a series of numbers.

Daily Sales

The total revenue or units sold by a business during a single day.