Which approach to budgeting takes a backward view of promotion, assuming sales produce promotion versus promotion producing sales?
A) Objective and task
B) Competitive response
C) Percentage of sales
D) Intuition and instinct

Question

Quizplus · Accepted Answer

The percentage of sales approach to budgeting assumes that sales produce promotion, not the other way around. This method involves setting the promotion budget based on a fixed percentage of past or forecasted sales.

Which Approach to Budgeting Takes a Backward View of Promotion