As discussed in the text, when estimating sales revenue for the pro forma income statement, it is most important to __________.
A) be conservative so the numbers are more realistic
B) use your own judgement, as no one knows the market better than the entrepreneur
C) rely on market research
D) be optimistic so the numbers will be motivating
E) None of the answers apply.

Question

Quizplus · Accepted Answer

Relying on market research is crucial for estimating sales revenue accurately, as it provides data-driven insights into market trends, customer behavior, and competitive analysis, leading to more realistic and reliable projections.

As Discussed in the Text, When Estimating Sales Revenue for the Pro