Multiple Choice
Which of the following assumptions is not required by the percent of sales method?
A) The inventory turnover will remain constant during the forecast period.
B) The profit margin will remain constant during the forecast period.
C) Cash, as a percent of sales, will remain constant throughout the forecast period.
D) The debt to equity ratio will remain constant throughout the forecast period.
Correct Answer:
Verified
Correct Answer:
Verified
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