Why is revenue forecasting critical in budgeting, and what approaches improve accuracy?

• A. It reduces administrative workload by removing contingency planning.
• B. It eliminates the need for external audits.
• C. It ensures funding sufficiency and informs contingency planning; use trend analysis, scenario planning, capital and macroeconomic indicators, and monitoring.
• D. It guarantees future revenue growth via market analysis.

Answer: (C)