Writing · Free lesson
Finance English: state the assumption behind a forecast
Your manager sees a revenue figure and asks what it depends on. The number alone does not explain that your estimate assumes the same renewal rate as the current quarter.
Professor Scott MendozaThe short answer
Use “We forecast X, assuming that Y.” For example: “We forecast revenue of $80,000 next quarter, assuming that the renewal rate stays unchanged.” The forecast is an expectation, not a completed result.
Put the premise beside the prediction.
Forecast tells the reader that the figure concerns the future. Assuming that introduces a condition used in the estimate. Keep that condition specific: unchanged renewal rate is clearer than if everything goes well. Naming one assumption does not guarantee the result or list every source of uncertainty.
Compare the examples
We forecast revenue of $80,000 next quarter.
This estimate assumes that the renewal rate stays unchanged.
We forecast revenue of $80,000 next quarter, assuming that the renewal rate stays unchanged.
All figures here are invented for language practice. The lesson does not validate a financial model or recommend a financial decision.
Build the meaning step by step
Mark it as a forecast
We forecast revenue of $80,000 next quarter
Attach the assumption
assuming that the renewal rate stays unchanged
Try it now
Keep the uncertainty clear
Read all answers and explanations
Which wording identifies an expected future result rather than an achieved one?
We forecast revenue of $80,000 next quarter.Forecast and next quarter mark a future expectation.
The estimate assumes an unchanged renewal rate. Which phrase preserves that exact condition?
assuming that the renewal rate stays unchangedIt names the specific input assumption, not a vague hope or an achieved result.
Does stating an assumption guarantee the forecast will be correct?
No, the result can still differ.The premise is clearer, but uncertainty remains.
Put it into practice
Repair an overconfident update
Your estimate is $80,000 next quarter under an unchanged renewal-rate assumption. Preserve both facts without a guarantee.
We will definitely earn $80,000 next quarter.
See a model answer
We forecast revenue of $80,000 next quarter, assuming that the renewal rate stays unchanged.
Clear uncertainty is useful information, not an apology.
A little more clarity
Common questions
A few useful details before you move on.
Can I use if instead of assuming that?
Often yes, when the condition is clear. Assuming that highlights the premise used for the estimate; if states the condition more generally.
If the renewal rate stays unchanged, we forecast revenue of $80,000 next quarter.
Does stating an assumption make a forecast certain?
No. It makes the estimate’s premise visible. Keep the distinction between a forecast and a confirmed result, even when you state the assumption clearly.
This forecast assumes that costs remain unchanged.
Take it into your day
A forecast is clearer when its assumption is visible.
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