A sales forecast
A) shows a forecast for the firm only.
B) shows a forecast for the industry only.
C) shows forecasts for the industry and for the firm.
D) plays a minor role in the development of the master budget.

Question

Quizplus · Accepted Answer

A sales forecast shows both the expected sales for the industry and for the firm, as the firm's sales are affected by industry trends. It plays a significant role in the development of the master budget as it is a key input for budgeting sales revenue.

A Sales Forecast