Which of the following is not true?
A) In projecting financial statements, the process begins by preparing a projected income statement.
B) In preparing a projected income statement, start with a sales or revenue forecast prepared by marketing personnel.
C) The relationship between sales and some costs may be complex, for example sales and fixed costs.
D) Interest expenses are commonly based on a percentage of sales.

Question

Quizplus · Accepted Answer

Interest expense is typically based on the level of debt and interest rates, not sales.

Which of the Following Is Not True