Indicate Whether Each of the Following Statements Is True or False

question 130

Short Answer

Indicate whether each of the following statements is true or false.
1. The accuracy of sales forecasts is critical to the effectiveness of a business' overall budgeting process.
2. Sales estimates to be used in the budgeting process are usually prepared by the accounting department.
3. Sales forecasts often are prepared using sophisticated computer programs and statistical techniques.
4. A company's senior vice president for sales would be held responsible for the sales budget.
5. Accompanying the sales budget is a schedule of cash payments for inventory, which is used in preparing the cash budget.

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Definitions:

Pie Charts

A circular statistical graphic divided into slices to illustrate numerical proportion, with the size of each slice proportional to the quantity it represents.

Bar Charts

A type of graphical display used to represent categorical data with rectangular bars of lengths proportional to the values they represent.

Nominal Data

Data classified into categories that cannot be ordered or ranked.

Proportional Slice

A proportional slice refers to a segment of a whole, such as in a pie chart, where each slice’s size represents its proportion in relation to the total.