Future revenues and costs are often a source of uncertainty for nonroutine operating decisions. Future revenues and costs can be affected by:
I. Economic environment changes
II. Customer demand
III. Government regulation
IV. Forecasting techniques
A) I and IV only
B) I and II only
C) I, II, and III only
D) I, II, III, and IV

Question

Quizplus · Accepted Answer

I, II, and III directly impact future revenues and costs due to external factors influencing the business environment, while IV, forecasting techniques, are methods used to estimate future revenues and costs, not a direct source of uncertainty.

Future Revenues and Costs Are Often a Source of Uncertainty