Sales forecasts are generally unrelated to the amount of a product held in inventory.

Question

Quizplus · Accepted Answer

Sales forecasts and inventory levels are closely related. Sales forecasts help to determine the appropriate level of inventory needed to meet anticipated demand. Misalignment between sales forecasts and inventory levels can result in stockouts or excess inventory, which can have significant financial implications for a business.

Sales Forecasts Are Generally Unrelated to the Amount of a Product