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Socio Economic conditions of country also affect the sales forecasting. They may include total national income per capita income standard of living of the masses, education, inflation deflation etc. For instance if the prices are rising sharply and the production is not increasing to copes the demand then it will be difficult for the public to satisfy their wants. It will lead the reduction in demand and thereby the sales forecast will be affected on the country. If thee is a rapid increase in the per capita income along with increase in production the demand will increase and thereby by the sales forecast will be affected.
why is normal rate of return on capital included in the total cost and what implication does it have
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