If the sales forecast is found to be lower than wanted by the companys managers, the companys managers could:

A. Accept the lower sales forecast

B. Begin a rigorous campaign to cut company expenses

C. Add a new option to the product

D. Increase the average price

Assume that you have completed your plans and proformas for the next year of operations. Your proformas indicate that you will have $320,000 less cash than you think you will need. What would you most likely do from the following list?

A. Develop a plan to increase accounts payable

B. Repurchase stock to increase earnings per share

C. Tighten credit policies to reduce accounts receivable

D. Pay dividends to shareholders

As part of the planning process for the next operating year, which from the following list would you generally do first?

A. Make a sales forecast of volume and average price

B. Choose a business strategy

C. Determine how many production employees will be needed

D. Develop a marketing plan