The percent of sales method of forecasting needs to based on a series of assumptions, and the forecasting would heavily relay on the percent of sales as the key tool for forecasting. Furthermore, the percentage of sales for the next period cannot prevent the forecasting result from the expectations of the investors.

There is no journal entry for forecasting sales rather journal entry is made for actual sales when they occur.

Lee Gunlogson has written:

'Sales forecasting' -- subject(s): Sales forecasting

demand forecasting is crucial for sales forecast