Forecasting the Revenues of the Business

1. Forecasting the Revenues of the Business

2. •is a result when sales
exceed the cost to
produce goods or
render the services
Revenue

3. •Revenue is recognized when
earned, whether paid in cash
or charged to the account of
the customer.

4. Sales
•is used especially when the nature
of business is merchandising or
retail, while Service Income is used
to record revenues earned by
rendering services.

5. You have just learned about what revenue is. This time,
let us study the various factors to consider in
forecasting revenues

6. • The entrepreneur would want his/her forecasting for his/her small
business as credible and as accurate as possible to avoid
complications in the future. In estimating potential revenue for
the business, factors such as external and internal factors that can
affect the business must be considered. These factors should serve
as basis in forecasting revenues of the business

7. •1. The economic condition of the
country

8. • 2. The competing
businesses or
competitors

9. •3. Changes happening in the
community

10. •4. The internal aspect of the
business.