Fundamentals of Cost Accounting 3rd Edition by William N. Lanen, Shannon W. Anderson, Michael Maher

Exercise 1

Which has more detail, the budget for the coming period or a long-range forecast? Why?

Step 1 of 2

Long-Range Forecasts:

These forecasts are estimated for more than two years period. These are for new market entry, new products and services development, facility expansion, signing long term agreements and contracts. These are used in mining, petroleum, shipping, pharmaceuticals, etc.