Problem based on total addressable market


Question: Start with your Total Addressable Market (TAM) based on market research. Narrow it down to your Serviceable Available Market (SAM) similar to the provided example. Calculate your Year 1 total sales by multiplying your SAM by your average price point. Verify your sales figures by comparing them to average sales data in your industry from census or market research. Compare your verified number to your calculated number to determine the number to use. You may go with the higher, lower number or a halfway number based on the assumptions for your business.

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Accounting Basics: Problem based on total addressable market
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