Question 1

An example of the survey method of sales forecasting is the use of test markets.

Accepted Answer

A) True 
 B)False

Question 2

The Delphi technique for forecasting is essentially based on census data.

Accepted Answer

A) True 
 B)False

Question 3

Changes in planned marketing expenditures have an effect on which of the following:

Accepted Answer

A) Sales forecasts. 
B) Sales potential. 
C) Sales budgets and sales forecasts. 
D) None of these. 
E) All of these. 
A) Sales forecasts. 
B) Sales potential. 
C) Sales budgets and sales forecasts. 
D) None of these. 
E) All of these.

Question 4

Which of the following is a function of the budget?

Accepted Answer

A) To control expense/revenue ratio. 
B) To minimize expenses. 
C) To know who is spending the money. 
D) To maximize profits. 
E) To torment lower management. 
A) To control expense/revenue ratio. 
B) To minimize expenses. 
C) To know who is spending the money. 
D) To maximize profits. 
E) To torment lower management.

Question 5

A customer analysis determines who will buy the product,not who will use it.

Accepted Answer

A) True 
 B)False

Question 6

Test markets are a means of estimating a product's market potential.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following statements is true?

Accepted Answer

A) Budgets are essentially based on the sales forecast. 
B) Budgets often have to be revised in light of actual performance. 
C) It is important for all employees to participate in the budget making process. 
D) All of these. 
E) None of these. 
A) Budgets are essentially based on the sales forecast. 
B) Budgets often have to be revised in light of actual performance. 
C) It is important for all employees to participate in the budget making process. 
D) All of these. 
E) None of these.

Question 8

Surveys of buyer's intentions:

Accepted Answer

A) Are easy to employ in markets where users are numerous. 
B) Are based on information obtained directly from product users,whose later buying decision will actually determine the sales. 
C) Are based on actual sales of the product. 
D) Can be done quickly and inexpensively. 
E) None of these is correct. 
A) Are easy to employ in markets where users are numerous. 
B) Are based on information obtained directly from product users,whose later buying decision will actually determine the sales. 
C) Are based on actual sales of the product. 
D) Can be done quickly and inexpensively. 
E) None of these is correct.

Question 9

The tool which an administrator uses to plan for profits by anticipating revenues and expenses is a:

Accepted Answer

A) Sales forecast. 
B) Budget. 
C) Sales potential. 
D) Strategic marketing plan. 
E) Sales quota. 
A) Sales forecast. 
B) Budget. 
C) Sales potential. 
D) Strategic marketing plan. 
E) Sales quota.

Question 10

Regarding a strategic sales forecast:

Accepted Answer

A) It should be done within the broader context of strategic marketing planning. 
B) It should guide strategic company planning because the sales force generates the company's revenues. 
C) It is not related to strategic business unit (SBU)planning. 
D) It usually follows the implementation activities in the management process. 
E) None of these is correct. 
A) It should be done within the broader context of strategic marketing planning. 
B) It should guide strategic company planning because the sales force generates the company's revenues. 
C) It is not related to strategic business unit (SBU)planning. 
D) It usually follows the implementation activities in the management process. 
E) None of these is correct.

Question 11

A production budget should be formulated prior to making the sales budget.

Accepted Answer

A) True 
 B)False

Question 12

The sales forecast is independent of the marketing program.

Accepted Answer

A) True 
 B)False

Question 13

Competitive developments need not be considered in developing your sales forecast.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following statements is true?

Accepted Answer

A) Sound budget making procedures usually bestow upon the accounting department the honor of developing the basic departmental expense budgets. 
B) The budget making process begins with a determination of the company's forecast for sales and resultant activities for the budget period. 
C) The sales manager is not responsible for developing the sales department budget. 
D) All of these. 
E) None of these. 
A) Sound budget making procedures usually bestow upon the accounting department the honor of developing the basic departmental expense budgets. 
B) The budget making process begins with a determination of the company's forecast for sales and resultant activities for the budget period. 
C) The sales manager is not responsible for developing the sales department budget. 
D) All of these. 
E) None of these.

Question 15

Salespeople:

Accepted Answer

A) Generally do not participate in the forecasting process. 
B) Are often poor forecasters. 
C) Tend to forecast high. 
D) Are often good forecasters. 
E) Tend to forecast low. 
A) Generally do not participate in the forecasting process. 
B) Are often poor forecasters. 
C) Tend to forecast high. 
D) Are often good forecasters. 
E) Tend to forecast low.

Question 16

Which of the following is the most subjective method of sales forecasting?

Accepted Answer

A) Trend analysis. 
B) Test marketing. 
C) Executive opinion. 
D) Correlation analysis. 
E) Direct derivation. 
A) Trend analysis. 
B) Test marketing. 
C) Executive opinion. 
D) Correlation analysis. 
E) Direct derivation.

Question 17

Which of the following is the best definition of a budget in sales force management?

Accepted Answer

A) A geographical arrangement of sales force assignments. 
B) A performance goal for salespeople. 
C) A financial plan which details the expected revenues and expenditures from sales force operations. 
D) An estimate of what the company will sell in the next financial period. 
E) The strategies and tactics to achieve the company's targeted market share. 
A) A geographical arrangement of sales force assignments. 
B) A performance goal for salespeople. 
C) A financial plan which details the expected revenues and expenditures from sales force operations. 
D) An estimate of what the company will sell in the next financial period. 
E) The strategies and tactics to achieve the company's targeted market share.

Question 18

You cannot test market an industrial product.

Accepted Answer

A) True 
 B)False

Question 19

A new firm with ten salespeople selling expensive navigational instruments to shipbuilders probably should use the ______ method of sales forecasting.

Accepted Answer

A) Trend analysis. 
B) Sales force composite. 
C) Test marketing. 
D) Correlation analysis. 
E) Any of the above is as good as another for this firm. 
A) Trend analysis. 
B) Sales force composite. 
C) Test marketing. 
D) Correlation analysis. 
E) Any of the above is as good as another for this firm.

Question 20

Which of the following factors can contribute to the risks in sales forecasting?

Accepted Answer

A) Uncertainty over future growth rate in the firm. 
B) The lack of an adequate sales history in the firm. 
C) The existence of a fashion element in the company's products. 
D) All of these. 
E) Only two of A-B-C above. 
A) Uncertainty over future growth rate in the firm. 
B) The lack of an adequate sales history in the firm. 
C) The existence of a fashion element in the company's products. 
D) All of these. 
E) Only two of A-B-C above.

An example of the survey method of sales forecasting is the use of test markets.

The Delphi technique for forecasting is essentially based on census data.

Changes in planned marketing expenditures have an effect on which of the following:

Which of the following is a function of the budget?

A customer analysis determines who will buy the product,not who will use it.

Test markets are a means of estimating a product's market potential.

Which of the following statements is true?

Surveys of buyer's intentions:

The tool which an administrator uses to plan for profits by anticipating revenues and expenses is a:

Regarding a strategic sales forecast:

A production budget should be formulated prior to making the sales budget.

The sales forecast is independent of the marketing program.

Competitive developments need not be considered in developing your sales forecast.

Which of the following statements is true?

Salespeople:

Which of the following is the most subjective method of sales forecasting?

Which of the following is the best definition of a budget in sales force management?

You cannot test market an industrial product.

A new firm with ten salespeople selling expensive navigational instruments to shipbuilders probably should use the ______ method of sales forecasting.

Which of the following factors can contribute to the risks in sales forecasting?

The Field of Sales Force Management

Strategic Sales Force Management

Personal Selling Process

Sales Force Organization

Profiling and Recruiting Salespeople

Selecting and Hiring Applicants

Developing, Delivering, and Reinforcing a Sales Training Program

Motivating a Sales Force

Sales Force Compensation

Sales Force Quotas Expenses

Leadership of a Sales Force

Sales Territories

Analysis of Sales Volume

Marketing Cost and Profitability Analysis

Evaluating a Salespersons Performance

Ethical and Legal Responsibilities of Sales Managers

Filters

Exam 12: Sales Forecasting and Developing Budgets

An example of the survey method of sales forecasting is the use of test markets.

The Delphi technique for forecasting is essentially based on census data.

Changes in planned marketing expenditures have an effect on which of the following:

Which of the following is a function of the budget?

A customer analysis determines who will buy the product,not who will use it.

Test markets are a means of estimating a product's market potential.

Which of the following statements is true?

Surveys of buyer's intentions:

The tool which an administrator uses to plan for profits by anticipating revenues and expenses is a:

Regarding a strategic sales forecast:

A production budget should be formulated prior to making the sales budget.

The sales forecast is independent of the marketing program.

Competitive developments need not be considered in developing your sales forecast.

Which of the following statements is true?

Salespeople:

Which of the following is the most subjective method of sales forecasting?

Which of the following is the best definition of a budget in sales force management?

You cannot test market an industrial product.

A new firm with ten salespeople selling expensive navigational instruments to shipbuilders probably should use the ______ method of sales forecasting.

Which of the following factors can contribute to the risks in sales forecasting?

The Field of Sales Force Management

Strategic Sales Force Management

Personal Selling Process

Sales Force Organization

Profiling and Recruiting Salespeople

Selecting and Hiring Applicants

Developing, Delivering, and Reinforcing a Sales Training Program

Motivating a Sales Force

Sales Force Compensation

Sales Force Quotas Expenses

Leadership of a Sales Force

Sales Territories

Analysis of Sales Volume

Marketing Cost and Profitability Analysis

Evaluating a Salespersons Performance

Ethical and Legal Responsibilities of Sales Managers

Filters