MI05 4 - 6 will upvote. thank you

Which of the following statements is correct? Based on of the percent of sales method, if the inventories has averaged 15% of sales over the past several years, we cannot assume that this relationship will hold for the next year. Based on of the percent of sales method, if the cost of goods sold has. averaged 65% of sales over the past several years, and the sales are expected to be $20 million next year, our cost of goods forecast would be $6.5 million. All the answers are correct. After applying the percent of sales forecasting, remember that the income statement must balance, and the "plug figure" necessary to make this happen is the spontaneous financing needed (SFN). To apply the percentage of sales method, ask "Is it likely that this item on the financial statement will change proportionally with sales?" and if the answer is yes, calculate the percentage of sales for that item and multiply the result by the sales forecast for the next period. Question 5 1pts Which of the following statements is correct? All the answers are correct. Based on of the percent of sales method, if the cost of goods sold has averaged 65% of sales over the past several years, and the sales are expected to be $10 million next year, our cost of goods forecast would be $6.5 million. Accounts payable is a discretionary source of financing and will not, therefore, change directly with sales. To apply the percent of sales tool after adding the Analysis ToolPak add-in of Excel, click the Data Analysis button on the Data tab, and select Regression from the list of analysis tools that are available. Long-term debt is a spontaneous sources of financing. Which of the following statements is correct? Based on of the percent of sales method, if the inventories has averaged 15% of sales over the past several years, and the sales are expected to be $10 million next year, our cost of goods forecast would be $3 million. The TREND function use non-linear regression to generate forecasts. All the answers are correct. The TREND function use linear regression to generate forecasts. The simplest method of forecasting income statements and balance sheets is the regression method