Final answer:
True, forecasts should include key measures like sales growth, earnings, and ROA because these metrics are crucial for predicting a company's performance and understanding stock price movements.
Step-by-step explanation:
The assertion that forecasts should include key measures such as sales growth, earnings, and Return on Assets (ROA) is indeed true. Accurate forecasting is vital for a company's strategic planning and decision-making processes.
It helps in predicting the company's future performance by considering key financial measures that reflect its ability to generate profits and effectively use its assets.
Moreover, understanding and analyzing these measures can also explain shifts in stock prices, which are influenced by market expectations and future earnings potential.
Thus, in finance, forecasting is not only about predicting outcomes but also about recognizing how current expectations might shift and impact future market valuations.