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Chapter 28. Forecasting Your Financial F... > Utilizing a Sales Forecast

Utilizing a Sales Forecast

A forecast of your company’s sales provides you with a sense of what kind of revenue can be expected in the future. By predicting revenue, you can then determine several important factors, including

  • The quantity of inventory you need to meet the revenue demands

  • The excess of revenue over cost of inventory to meet other expenses

  • The availability of excess revenue to fund future expansion

  • The need for additional sources of revenue


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