The CFO of XYZ Company uses forecast of sales and long-term projection of expenses to determine the expected level of ______ for future periods.
A) profits
B) funds
C) purchases
D) taxes

Question

Quizplus · Accepted Answer

The CFO would use forecasts of sales and long-term projections of expenses to estimate future profits. Profit is the amount left over after all expenses have been subtracted from revenue (sales), so the CFO would need to consider both to determine the expected level of profits for future periods. The other options (funds, purchases, taxes) may also be relevant to the CFO's decision-making, but they are not the primary focus of this particular question.

The CFO of XYZ Company Uses Forecast of Sales and Long-Term