In preparing the sales budget, the preparer should consider:
A) I only
B) I and II only
C) II and III only
D) I, II and III

Question

In preparing the sales budget, the preparer should consider: 
A) I only 
B) I and II only 
C) II and III only 
D) I, II and III

Quizplus · Accepted Answer

I. Historical sales data: This helps in identifying patterns and trends in sales, which can be used to estimate future sales. It is important to consider this information when preparing the sales budget.

II. Market conditions: Changes in the market, such as economic trends, competitors' pricing strategies, and changes in consumer behavior can all impact sales. Therefore, it is important to consider the current market conditions when preparing the sales budget.

III. Sales team input: The sales team can provide valuable insights into upcoming sales opportunities, challenges, and trends. Their input should be considered when preparing the sales budget.

Thus, all three factors should be considered when preparing the sales budget, making option D the correct answer.

In Preparing the Sales Budget, the Preparer Should Consider