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( Operating profit - fixed expenses ) ÷ sales . ( Sales - variable expenses ) ÷ operating profit . Operating profit ÷ ( fixed expenses - variable expenses ). Sales ÷ ( fixed expenses - operating profit ). Fixed costs ÷ Total contribution margin .

Question 9 . Question : Sales forecasts are the first step in the budgeting process of a

merchandising firm because : Student Answer : The revenue data are easiest to generate . Sales information is precise in amount . Sales personnel have the quickest access to data . Sales forecasts are the most objective of all budgeted activities . Almost all activities of a firm emanate from ( i . e ., are linked to ) estimated sales demand . UNIT 3 QUIZ

Question 10 . Question : All of the following represent alternative approaches to the

traditional budget-preparation process except which one ?

( Operating profit - fixed expenses ) ÷ sales . ( Sales - variable expenses ) ÷ operating profit . Operating profit ÷ ( fixed expenses - variable expenses ). Sales ÷ ( fixed expenses - operating profit ). Fixed costs ÷ Total contribution margin .

Question 9 . Question : Sales forecasts are the first step in the budgeting process of a

merchandising firm because : Student Answer : The revenue data are easiest to generate . Sales information is precise in amount . Sales personnel have the quickest access to data . Sales forecasts are the most objective of all budgeted activities . Almost all activities of a firm emanate from ( i . e ., are linked to ) estimated sales demand . UNIT 3 QUIZ

Question 10 . Question : All of the following represent alternative approaches to the

traditional budget-preparation process except which one ?