A danger of under estimating sales forecasts is that the entity may lose the capacity to increase sales in the short term.

Name: A danger of under estimating sales forecasts is that the entity may lose the capacity to increase sales in the short term.
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Question

Quizplus · Accepted Answer

Underestimating sales forecasts can lead to insufficient inventory, inadequate staffing, and limited production capacity, hindering the ability to meet unexpected demand and increase sales in the short term.

A Danger of Under Estimating Sales Forecasts Is That the Entity