Income statement projections realistically ________ in the first few months of operations.

Question

Quizplus · Accepted Answer

It is common for new businesses to experience losses in their first few months of operations as they are building their customer base and establishing themselves in the market. It takes time to generate consistent revenue and develop a strong financial track record. Therefore, income statement projections during this period usually show losses.

Income Statement Projections Realistically ________ in the First Few Months