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If a firm determines it can use the percentage-of-sales method and it follows the procedure describe

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If a firm determines it can use the percentage-of-sales method and it follows the procedure describe

If a firm determines it can use the percentage-of-sales method and it follows the procedure described in the textbook, then the net result is that each expense item on its income statement (with the exception of those items that can be individually forecast) will grow at the same rate as sales. This approach is called the:
A) regular proportion method of forecasting
B) steady percentage method of forecasting
C) constant ratio method of forecasting
D) continuous percentage method of forecasting
E) stable fraction method of forecasting

Textbook

Entrepreneurship: Starting and Operating a Small Business

Edition: 3^rd

Authors: Mariotti, Glackin

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8 years ago

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Registered in a two-year entrepreneurship course

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8 years ago

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