How to forecast business growth with accuracy and margin of error. #ai #learning #money #easy

How to forecast business growth with accuracy and margin of error. #ai #learning #money #easy

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Summary

The content discusses the importance of making reasonable estimates as a baseline before factoring in variations and probabilities. It emphasizes the benefit of errors canceling each other out, especially when using a top-down model that applies a multiplier to everything. The example of costs being too low and revenue growth being too high is used to highlight the potential magnitude of difference in the target price. Additionally, it underscores the value of working out the average cost, even if there are slight inaccuracies in different areas. Overall, it stresses the significance of being as accurate as possible in forecasting.

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