Financial Forecasting using Percent of Sales Method & How to Calculate Projected Retained Earnings
For the sake of example, let’s imagine a hypothetical businessperson, Barbara Bunsen. She operates a specialty cake, army bed, cinnamon roll shop called «Bunsen’s Bundt, Bunk Bed, Bun Bunker» or «B6» for short. We’ll use her business as a reference point for applying the percent of sales method. She estimates that approximately 2 percent of…
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