How does a sales forecast differ from a sales budget?
A)A sales forecast includes the company, while a sales budget includes the industry.
B)A sales forecast includes the company and the industry, while a sales budget includes only the industry.
C)A sales forecast includes the company and the industry, while a sales budget includes only the company.
D)They are both the same.

Question

Quizplus · Accepted Answer

A sales forecast is an estimation of future sales based on past performance and industry trends. It covers the entire industry as well as the company's sales. On the other hand, a sales budget is a financial plan that sets targets for the company's sales revenue, expenses, and profits for a specific period of time. It includes only the company's sales and not the industry. Therefore, choice C is the correct answer.

How Does a Sales Forecast Differ from a Sales Budget