Which of the following statements is true?
A)Sales budgets can become self-fulfilling prophecies.
B)The sales budget is the key budget.
C)The sales budget is used by production as its guide to production.
D)All of these.
E)None of these.

Question

Quizplus · Accepted Answer

A) Sales budgets can become self-fulfilling prophecies as they influence the behavior of sales personnel and can create a positive or negative attitude towards achieving sales targets.
B) The sales budget is the key budget as it forms the basis for all other budgets (e.g. production, marketing, finance) and directly affects the company’s profitability.
C) The sales budget is used by production as its guide to production as it is the basis for estimating the quantity and timing of production needed to meet sales targets. 
Therefore, option D - All of these - is the correct answer.

Which of the Following Statements Is True