If the company wants to predict or estimate its

5. If the company wants to predict or estimate its financial position and
performance, what does the company need to practice ?
a. Business plan c. Financial Forecasting
b. Financial Statement d. Statement of Cash flow
Assessment

6. Why do businesses prepare profit forecasts ?
7. Suppose that your café has ten tables that can seat four people. If you are
forecasting the number of diners in five days, how many diners will you
have ?
8. What is the optimal percentage for gross profit ?
9. If the company wants to determine the inflow and outflow of the cash in
the business, what statement does the company need to prepare ?
a. Cash flow Forecast c. Balance Sheets
b. Income Statement d. Financial Statement
10. All of the following good ideas on making accurate sales forecasts EXCEPT
for:
11. It is a step in forecasting where expenses are presented. 12. When a business subtracts all its costs from its generated revenue, what is
being left ?
13. It determines the business's profit by comparing it to the size of the entity.
a. Money c. Profit
b. Profitability d. Forecasts
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