When Creating Financial Forecasts in a Business Plan for a Proposed

question 36

Multiple Choice

When creating financial forecasts in a business plan for a proposed venture, an entrepreneur should:

• A) be sure that all forecasts are realistic.
• B) list all previous loans which are in default.
• C) avoid including a statement of the assumptions on which financial projections are based.
• D) present an overly optimistic view of what is ahead for the business.

---

Definitions:

Dreaming

A collection of mental images, ideas, and emotional experiences that happen during sleep.

Brain Waves

The rhythmic or repetitive patterns of neural activity in the brain, measurable by electroencephalography (EEG).

Frequency

The number of times an event occurs within a specified period of time; in physics, it is the number of waves that pass a fixed point per unit of time.

Amplitude

The height or strength of a wave signal, which in the context of sound, relates to its loudness, and in light, its intensity.