Which forecasting type is illustrated by examining past sales trends to influence future revenue?

The correct choice is related to the use of historical data to predict future outcomes. Quantitative revenue forecasting specifically involves analyzing measurable data, such as past sales trends, to project future revenues. This method relies on statistical and mathematical techniques, allowing organizations to make informed predictions based on actual numerical information from previous periods.

By examining historical sales data, quantitative forecasting takes into account patterns, trends, and variations that have occurred over time. This method is advantageous as it provides a structured approach to projecting revenues based on evidence, reducing the influence of personal biases or subjective judgments that can occur in qualitative forecasting.

In contrast, qualitative revenue forecasting is based on expert opinions and market research rather than statistical data, which could lead to less reliable predictions when historical data is readily available. Regression analysis can also be a component of quantitative forecasting but involves a more complex analysis of relationships between variables. Lastly, naïve forecasting simply assumes that future outcomes will be the same as the most recent outcomes, making it less effective for entities that seek to understand longer-term trends based on historical data.