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Adjusting the Sales PlanThe Adjusted Sales Plan in Actual Table illustration shows how the company from the previous page makes its course corrections. Compare the difference in the February and March columns in the Beginning Sales Plan illustration, the original plan, page 20.3, and the Adjusted Sales Plan in Actual Table shown below. Adjusted Sales Plan in Actual Table
The illustration shows revisions in the April and May columns, even before they happen, to reflect the changes shown in the January-March period. In this example, if the company knows by March that real sales will be different from planned goals in April, they should estimate the revised forecast, as a correction to future results. When the actual results are available, they can replace revised plan numbers with actual results. The actual results area can then become a plan area for course corrections. In the Adjusted Sales Plan in Actual Table illustration above, the forecast has been revised for April and May. Since the company knew systems sales would be down, they planned on it and made a revised forecast in the actuals area. The same revision affects projected profits, balance sheet, and — most important — cash.
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