Financial Management: Principles and Applications, 13/e

Study Questions

1. 17–1. In Regardless of Your Major: Financial Planning Engages Everyone on page 554, we learned that financial planning engages everyone throughout the organization. How do marketing and accounting specialists contribute to the financial planning process?

2. 17–2. What is the primary objective of the financial planning process?

3. 17–3. Forecasting a firm’s future sales is the key element in developing a financial plan, yet forecasting can be extremely difficult in some industries. If forecast accuracy is very poor, does this mean that the financial planning process is not worthwhile? Explain your answer.

4. 17–4. Describe the percent-of-sales method of financial forecasting.

5. 17–5. Distinguish among the three components of a firm’s overall ...